What is the firm-s output elasticity and returns to scale, Microeconomics

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What is the firm-s output elasticity and returns to scale

CARICOM Products Limited production function is lnQ = 4.63 + 0.392lnK + 0.824lnL. Given that price of labour (L) is $40 and the price of capital (K) is $20

a) What is the optimal mix?

b) What is the firm's output elasticity and returns to scale? Explain

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Microeconomics: What is the firm-s output elasticity and returns to scale

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CARICOM Products Limited production function is lnQ = 4.63 + 0.392lnK + 0.824lnL. Given that price of labour (L) is $40 and the price of capital (K) is $20. What is the firm's output elasticity and returns to scale? Explain

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Microeconomics: What is the firm-s output elasticity and returns to scale

Reference No:- TGS064082

Have a Question? (oR Write a Review)

Recent Questions Asked Microeconomics

Q : Price elasticity and income elasticity

Q : Credit to the allowance account

Q : How many inspectors should be hired

Q : Determining the capital-asset pricing model

Q : What is the firm-s output elasticity and returns to scale

Q : Highest ranking according to the net present value criterion

Q : Find ways for two or more countries to establish free trade

Q : Confidence intervals-z tests

Q : Gross margin percentage

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Request for Solution File

Ask an Expert for Answer!!

Microeconomics: What is the firm-s output elasticity and returns to scale

Reference No:- TGS064082

Recent Questions Asked Microeconomics

Q : Price elasticity and income elasticity

Q : Credit to the allowance account

Q : How many inspectors should be hired

Q : Determining the capital-asset pricing model

Q : What is the firm-s output elasticity and returns to scale

Q : Highest ranking according to the net present value criterion

Q : Find ways for two or more countries to establish free trade

Q : Confidence intervals-z tests

Q : Gross margin percentage

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