Question

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Answer 1

Answer

a) The output 24 units can be produced with following combinations of labor and capital shown in the table below;

Output	Labor	Capital
24 units	1	6
	2	3
	3	2
	6	1

The isoquant associated with Q = 24 is shown in the figure below;

The number of labors is measured on the horizontal axis; and the number of capital is measured on the vertical axis. The downward sloping green color curve is the isoquant curve.

Isoquant Capitolo 1,6 --Isoquant 2,3 6,1 2 3 Leboy

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b) The output 24 units can be produced with following combinations of labor and capital shown in the table below;

Output	Labor	Capital
35 units	2	6
	3	4
	4	3
	6	2

The isoquant associated with Q = 35 is shown in the figure below;

The number of labors is measured on the horizontal axis; and the number of capital is measured on the vertical axis. The downward sloping purple color curve is the isoquant curve.

Isoquant capitel 6 96 --Isoquant Labor

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c) In the short-run, if capital is fixed at K= 2, then 3 units or number of labors are required to produce 24 units of output.

In the short-run, if capital is fixed at K= 2, then 6 units or number of labors are required to produce 35 units of output.

Capital	Labor	Output
2 units	3	24
	6	35

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