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Question 1: A firm produces one good with a technology given by the production function y...

Question 1: A firm produces one good with a technology given by the production function y = f (x) = x1/3. The factor price w and the price p for the good are fixed.

a) Explore whether the production function exhibits increasing returns to scale.

b) Determine the cost function

c) Determine the demand function for the input factor.

d) How much will the firm produce?

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