Production Function Problem

Need help solving this homework problem for study. A firm can manufacture a porduct accouding to the porduction function: Q = F (K,L) = K 3/4 L 1/4 a. Calculate the average product, AP L, when the level of captial is fixed at 16 units, and firm uses 16 units of labor. How does the average production of labor change when the firm uses 81 units of labor? b. Find an expression for the marginal product of labor, MP L , when the amount of capital is fixed at 16 units, and then illustrate that mardinal producer of labor depends on the amount of of labor hired by calculating the marginal porducto of labor for 16 and 81 units of labor.? c. Suppose capital is fixed at 16 units. IF ... click for more

Cost function problem

A problem to do for study. An economist estimated that the cost function of a single-product firm is: C(Q) = 50 + 25Q + 30 (Q)^2 + 5Q^3 Based on this information: a. The fixed cost of producing 10 units of output? b. The variable cost of producing 10 units of output? c. The total cost of producing 10 units of output? d. The average fixed cost of porducing 10 output? e. The average variable cost of producing 10 units of output? f. The average total cost of producing 10 units of output? g. The marginal cost of producing 10 units of output? Thanks for helping me!

Price Elasticity Problem

A problem do to study for.... Suppose the own price elasticity of market demand for retail gasoline is -0.9 and Rothschild Index is 0.6 and a typical gasoline retailer enjoys sales of $1.2 Million annually. What is the price elasticity of demand of a representative gasoline retailer's product?

Lerner Index

A firm has $1 Million in Sales, a Lerner Index of 0.65 and a marginal cost of $35 and competes against 1,000 other firms in its relevant market. a. What price does the firm charge it customers? Show formula to explain how do this. b. By what factor does this firm mark up its price over marginal cost? c. Do you thinkthis firm enjoys much market power? Explain your findings. Show how the Lerner Index is important in this problem?

Economic Demographic Data Collection

Three years ago the CEO of a large firm instituted a plan that encourages division managers to share information obtained about the demographic characteristics of those who purchase the firm's final product. Since the plan was implemented, however, the CEO has noticed that less information is available than ever. Why do you think the CEO's plan backfired?