(A) Suppose the production function for T-shirts can be represented as q = L0.5 KO.5. Show that the marginal productivity of labor diminishes in the short run. What is the cost minimizing bundles of...

(A) Suppose the production function for T-shirts can be represented as q = L0.5 KO.5. Show that the marginal productivity of labor diminishes in the short run. What is the cost minimizing bundles of labor and capital in the long run for T-shirts where w = and r = 10 when q=100 units?

Jun 09, 2022
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