A firm's production function is q = 26x0.33y0.67, where x and y are the amounts of factors x and y that the firm uses as inputs. If the firm is minimizing unit costs and if the price of factor x is 6 times the price of factor y,the ratio in which the firm will use factors x and y is closest to
A) = 0.08.
B) = 0.25.
C) = 0.50.
D) = 2.40.
E) = 12.
Correct Answer:
Verified
Q7: A firm has two factories. One factory
Q8: If the production function is f (x1,
Q8: If there are increasing returns to scale,
Q9: If there are increasing returns to scale,
Q10: The total cost function c(w1, w2, y)expresses
Q13: The conditional factor demand function for factor
Q14: A firm produces Ping-Pong balls using two
Q14: A firm uses a single variable input
Q15: A firm uses a single variable input
Q19: Quasi-fixed costs are those costs that can
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