Y = AN(75 + KN)
Y = 10 x 20 (75 + 1000 / 20)
Y = 200 (75 + 50)
Y = 15000 + 10,000
Y = 25,000.
If K and N doubles then Y = 10 x 40 ( 75 + 2000 / 40).
400 (75 + 50)
= 30,000 + 20,000
= 50,000.
the answer is "C" Y doubles.
SHOW WORK
3) Suppose the economy's production function is Y AK03 No7. IfK 2000, N 100, and A- 1, ten Y-246. If K and N both rise by 20%, and A is unchanged, by how much does Y increase? A) 5% B) 1090 C) 1590 3 A 0 20%
6) Consider a closed economy described by the following equations: (1) Y=C+I+G (2) Y = 5(K)S(L)05 (3) K = 1600 (4) L = 1600 (5) G = 2500 (6) T = 2000 (7) C = 1000 + 2/3 (Y-T) (8) I= 1200 - 100r, where r is the real interest rate. a) What is the equilibrium level of income? Show your work. b) Solve for the equilibrium interest rate (r) and the level of investment (I). The interest rate will...
As a skater spreads her mass out, her rotational speed a) increases b) decreases c) remains the same If the distance between two planets doubles, the gravitational attraction between them a) doubles b) stays the same c) halves d) quarters If the radius of a satellites orbit doubles, its period a) increases by 1.4 b) doubles c) increases times 2.8 d) quadruples If the mass bouncing on a spring doubles, the period of the bounce a) doubles b) increases times...
Suppose the production function is given by ? = ?^a?'^1-a, where Y is output; K is capital stock and N is Labor (look Appendix in Chapter 16). a. Is this production function characterized by constant return to scale? How? Show the work. b. Write this production function as a relationship between output per worker and capital per worker. c. If saving (S) equals investment (I), and S = sY, where s is saving rate, what is the corresponding investment per...
Problem 4
Consider a country with production function , where y =
5k1/2, where y is the output per worker and k is capital
per worker. Suppose the investment in capital occurs at a rate of
35% of income per worker every period, depreciation rate is 1.5%
and population growth rate is 2%. Use excel to plot the production
function, investment line and capital depletion line with k on the
x-axis(use the attached spread sheet to draw your graphs).
-attached...
Consider a numerical example using the Solow growth model: Given the production technology as Y=F(K,N)=K^0.5 N^0.5, the capital per worker, k=K/N, evolves by (1+n)k’=szf(k)+(1-d)k. Suppose that d=0.1, s=0.2, n=0 and z=1. (a) Determine the capital per worker(K/N), income per worker(Y/N), and consumption per worker(C/N) in the steady state. (b) Suppose that z increases into 2. Determine the new steady state. What happens in the capital per worker(K/N), income per worker(Y/N), and consumption per worker(C/N) and why?
show work
5) How many people are unemployed if the employment ratio is 75%, there are 90 million people 5) employed, and there are 20 million people not in the labor force? A) 5 million B) 15 million C) 10 million D) 20 million E) 0 million
If pA = $10, PB = $5,Y = $75, where p is the price of a good, A and B are goods, and Y is income. Given that the utility function is U = 25A2B, determine the optimal bundle of x and yfor this consumer. Be sure to show your work and box your answers. a) Solve for the marginal utility of A and the marginal utility of B b) Solve for the relationship (trade-off) between A and B c)...
12. Suppose an economy's production function is specified by y = A(√K,√L), where A represents the productivity of resources, K the quantity of capital resources, and L the quantity of labor resources. A. Find potential output when A = 10, K = 49, and L =9. B. Find potential output when A = 10, K = 49, and labor resources are 3, 6, and 12. C. Plot the levels of output associated with 3, 6, 9, and...
Q.5 Extrusion: A billet that is 76+X mm long with diameter = 36+Y mm is direct extruded to a diameter of 22+Y mm. The extrusion die has a die angle = (70+X)°. For the work metal, K = 600 MPa and n = 0.2+(Z/100). In the Johnson extrusion strain equation, a = 0.8 and b = 1.4. Determine: (a) extrusion ratio, (b) true strain (homogeneous deformation), (c) extrusion strain, and (d) ram pressure and force at L = 70, 60,...