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Output of service Q is a function of the number of hours of robot work and...

  1. Output of service Q is a function of the number of hours of robot work and the number of hours of human work Q = 2R + 10L
    1. Robots and humans are substitutes
    2. Robots and humans are perfect substitutes.
    3. The marginal rate of technical substitution of robots for labor is 0.2
    4. The marginal rate of technical substitution of robots for labor is 5.
    5. If a robot can be rented for $50 per hour, no human labor will be used if the human wage is greater than $10 per hour.
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