The marginal product of labor can be illustrated geometrically as the

 

Question 1

 

The marginal product of labor can be illustrated geometrically as the:

Select one:

A. slope of the total product curve with respect to labor

B. slope of the total product curve with respect to capital

C. slope of a chord from the origin out to the total product curve at the specified level of labor

D. inverse of the slope of a chord from the origin out to the total product curve at the specified level of labor

E. slope of the total product curve with respect to labor divided by the slope of the total product curve with respect to capital

 

 

 

 

Question 2

In the table below, the marginal product of labor at L = 6 is:

 

Select one:

A. 3

B. 2

C. 5 = Q for 6th L –Q for 5th L = 18-13 = 5

D. 4

E. 1

 

 

Question 3

Output is produced according to Q = 4LK, where L is the quantity of labor input and K is the quantity of capital input. If the price of K is $10 and the price of L is $5, then the cost minimizing combination of K and L capable of producing 32 units of output is:

Select one:

A. L = 8 and K = 1

B. L = 4 and K = 2

C. L = 2 and K = 2

D. L = 2 and K = 4

E. L = 1 and K = 8

Q should be 32 so,

LK = 32/4 = 8.

So, there are 4 choices as given in options.

Option 1: Total cost = 8*5+1*10 = $50

Option 2: Total cost = 4*5+2*10 = $40

Option 3: Total cost = 2*5+4*10 = $50

Option 4: Total cost = 1*5+8*10 = $85

Hence the answer.

 

 

Question 4

If output is produced according to Q = 3K + 4L, then this production process exhibits:

Select one:

A. increasing returns to scale

B. decreasing returns to scale

C. first increasing and then decreasing returns to scale

D. constant returns to scale

E. first decreasing and then increasing returns to scale

 

Q(M) = 3(K+M)+4(L+M) = 3K+4L+7M > 3K+4L+M

 

Question 5

Hedge Fun is a landscaping firm that specializes in topiary. Last year, the firm had 30 employees and served 120 customers. This year, it had 35 employees and served 135 customers. What is the marginal product of labor?

Select one:

A. 2

B. 3

C. 4

D. 5

E. none of the above

 

Marginal Product of labor =

 

 

Question 6

Whenever average product is declining with increases in input usage:

Select one:

A. marginal product is less than average product

B. total product is declining with increases in input

C. total product is increasing with increases in input

D. marginal product is greater than average product

E. total product is at a maximum

 

Question 7

The law of diminishing marginal returns states that:

Select one:

A. the marginal product of labor declines as all inputs are increased

B. production functions exhibit decreasing returns to scale

C. the marginal product of labor returns as more capital is used

D. the marginal product of a factor eventually diminishes as more of the input is used, holding other inputs fixed

E. the marginal product of a factor always diminishes as more of the input is used, holding other inputs fixed

 

Question 8

The optimal combination of two inputs, K and L, can be characterized by:

Select one:

A. PKMPK= PLMPL

B. MPK= MPL

C. PLMPK= PKMPL

D. MPK/MPL = PL/PK

E. none of the above

 

 

Question 9

The marginal rate of technical substitution between two inputs:

Select one:

A. shows the rate at which one input can be traded for another, holding output constant

B. shows the efficient combination of inputs

C. increases as we move down an isoquant

D. shows the rate at which output can be increased by using more of both inputs

E. shows the rate at which output decreases when using less of one of the inputs

 

 

Question 10

If output is produced according to Q = (KL)3/4, then this production process exhibits:

Select one:

A. increasing returns to scale

B. decreasing returns to scale

C. first increasing and then decreasing returns to scale

D. constant returns to scale

E. first decreasing and then increasing returns to scale

Q(M) =

 

 

Question 11

Output elasticity can be defined as the:

Select one:

A. percentage change in output divided by the (equal) percentage change in all inputs

B. change in output divided by the change in all inputs

C. change in inputs divided by the change in output

D. change in output divided by the change in one input

E. percentage change in output divided by the (average) percentage change in all inputs

 

 

Question 12

If output is produced according to Q = 30L + 12K, then the output elasticity is:

Select one:

A. 2

B. 0

C. 1

D. 0.5

E. 21

As the production function is linear so elasticity is 1.

 

Get 20% Discount on This Paper
Pages (550 words)
Approximate price: -

Try it now!

Get 20% Discount on This Paper

We'll send you the first draft for approval by at
Total price:
$0.00

How it works?

Follow these simple steps to get your paper done

Place your order

Fill in the order form and provide all details of your assignment.

Proceed with the payment

Choose the payment system that suits you most.

Receive the final file

Once your paper is ready, we will email it to you.

Our Services

Custom Writings Help is a Quality-Oriented Company in Online Writing as a result of hiring exceptional professionals to execute clients' tasks.

Essays

Research Papers

At Custom Writings Help,We understand the struggle of research paper writing, and that is why at Custom WritingS Help, we are all out to help you. We pride ourselves on having a team of clinical writers. The stringent and rigorous vetting process ensures that only the 'BEST' Writers are chosen for the job. We have highly qualified Ph.D. and MA writers working with us; we equally offer these experienced writers specific bonuses and incentives to make them deliver highly original, unique, and informative content at reasonably low prices.

Admissions

Thesis Writing Service

Worlwide, Many Masters Students are struggling with Thesis Completion. A thesis is likely to be the longest and most challenging piece of work a student has ever completed. However, unlike essays and other assignments, a student can pick a particular interest topic and work on their initiative. Fortunately, we are there for you. At Custom Writings Help, you are assured of an authentic, imaginative, informative, linguistically great, and advantageous thesis that adheres to all your needs. So, why continue considering different writers when you have discovered the best in the field?

Editing

Custom Papers

Not a single student can avoid writing custom papers. However, a total lack of experience, skills, and time makes it very hard to produce a superb writing piece. Therefore, if you are seeking professional help, turn to us. Our specialized and experienced writers compose a variety of model papers, including custom essays, college term papers, research papers, book reports, MBA essays, executive summaries, dissertations, Ph.D. theses, admission essays, and research proposals for college and university students at any level.

Coursework

Essay Writing

Most of the students disregard the critical principles of essay writing and compose papers below sensible guidelines. Therefore, with Custom Writings Help, one should not worry about his/her essay. Our Writers compose informative and engaging content on all complexities and topics. We write meaningful and smart essays while prioritizing all aspects that bring about a good grade, such as impeccable grammar, proper structure, zero-plagiarism, and conformance to guidelines.

Coursework

Coourse Work Writing

Don't let the seemingly never-ending onslaught of writing assignments get you down. If you are looking where to get course work assistance online, the writers at Custom Writings Help are here to assist you with all of your writing needs. We undertake to unique delivery of papers that meet the professor's requirements. The content is proofread, edited, and checked plagiarism before submission to customers. No matter how big or small your work is, we will deliver on time. Try US Now! !

Coursework

Dissertation Writing Service

High-Quality Dissertation Writing Services are rare. They require Ph.D. academicians – not easily found. However, are an exception. The years, time, and resources we have invested in the dissertation world has given us a competitive advantage over others. Choose to come to Custom Writings Help; You will find perfect Ph.D. consultants who have written hundreds of dissertations theses ready to help you. Let our dissertation-writing services help you craft your dissertation, for you are assured we will give you the results.