Production is an extremely complicated task, so economists make a variety of simplifyingassumptions. Which of the following presumptions do financial experts make in their an easy model ofproducer behavior?I. Multiproduct firms: all firms create at the very least two goods.II. Firms just use 2 inputs in the production process: capital and also labor.III. Price minimization: Firms effort to produce a fixed amount of calculation at the lowestpossible full cost.IV. Firms can produce an ext output through using more inputs.

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Which the the following is (are) example(s) of manufacturing functions?I. Q = 56K + 18LII. Q = 2K^0.8 L^0.2III. Q = KL
A donut shop has a production duty given by Q = 50K^1/3 L^1/2, where Q is the number of donutsproduced every hour, K is the variety of donut fryers (which is fixed at eight in the short run), and L is the number of employed workers. How many donuts deserve to be produced per hour with four workers in the short run?
Suppose a firm"s short-run production function is provided by Q = 16L^0.8. What is the marginal product the the fourth worker?
Suppose the steep of a short-run production function is provided by 2/L 0.5. I beg your pardon of the following statements is (are) TRUE?I. The marginal product that the fifth worker is 0.20.II. The production function exhibits enhancing marginal returns.III. The marginal product of the 16 worker is 0.50.IV. The manufacturing function"s steep eventually transforms from confident to an adverse as the firmproduces much more and more.
Hell"s Kitchen, i beg your pardon has sufficient counter an are for 3 cooks every shift, decides to rental afourth cook per shift.
Brenda"s Pastry employs three workers who develop 6 dozen pastries every hour. After Brenda hiresa 4th worker, the number of pastries produced increases to 7 dozen every hour. Because themarginal product the the 4th worker is _____ than the median product of three workers theaverage product have to _____.
If a firm is using a lot of capital and also just a tiny labor, the marginal product of labor is_____ family member to the marginal product of funding making it _____ come substitute labor for capital.

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Suppose the a community health facility finds that regardless that the variety of physicians or nursepractitioners employed, it can constantly replace one family members practice physician by utilizing twoadditional nurse practitioners there is no affecting the amount or high quality of patience office visits. Thisfinding indicates that:
Which that the adhering to statements is (are) TRUE?I. If labor and capital are perfect substitutes in production, the isoquant is a downward-sloping line.II. If a agency needs to use inputs in fixed proportion such that the funding to labor proportion isalways 2, the firm"s isoquants are L-shaped.III. If the production role is offered by Q = min(14, 7), the firm can produce, in ~ minimum,21 systems of output.
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