Question

2. For each of the following production functions (a and b) find the following equations (i-iii)...

2. For each of the following production functions (a and b) find the following equations (i-iii) in terms of Q0, w and r.

i) MRTSL,K

ii) Long-run capital and labor demand curve.

iii) Short-run capital and labor demand curve if the firm is stuck with K= 4.

(a) Q = 3L^2/3K^1/3

(b) Q = LK + 7L

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