Q1. Angie Silva recently opened The Sandal Shop, a store that specializes in fashionable sandals. Angie has just received a degree in business and she anxious to apply the principles she has learned to her business. In time, she hopes to open a chain of sandal shops. As a first step, she has prepared the following analysis for her new store:
Q2. Suppose the production function is given by Q = 3K + 4L. What is the marginal product of capital when 5 units of capital and 10 units of labor are employed?
Q3. The Interior Department recently announced that it will increase the entrance fees at Yellowstone National Park in order to increase park revenues.