A small firm in Indonesia has the following estimated production function:
ln(q)= 10 + 2.6ln(L)- 0.4(ln(L))²
Derive the firm's marginal and average product of labor as functions of q and L.What is the elasticity of output with respect to labor?
Correct Answer:
Verified
View Answer
Unlock this answer now
Get Access to more Verified Answers free of charge
Q47: Long-Run Production: Two Variable Inputs Q48: Q51: Suppose the production of paved roadways can Q53: Suppose the production function for T-shirts can Q57: One way to explain the convexity of Q60: Describe the relationship between marginal productivity and Q62: L-shaped isoquants imply that production requires that Unlock this Answer For Free Now! View this answer and more for free by performing one of the following actions Scan the QR code to install the App and get 2 free unlocks Unlock quizzes for free by uploading documents
