A firm has the production function f(x1, x2) = x11x0.502. The isoquant on which output is 305/10 has the equation
a. |
x2 = 30x-0.501. |
|
b. |
x1/x2 = 2. |
|
c. |
x1 = 0.50x-0.502. |
|
d. |
x2 = 30x-21. |
|
e. |
x2 = 30x21. |
step by step, plese
Given that output is determined by the equation
f(x1, x2) = x1^1 x2^0.5
Q = x1 * x2^0.5
30^5/10 = x1 * x2^0.5
30^0.5 = x1 * x2^0.5
x2^0.5 = 30^0.5 / x1
x2 = (30^0.5 / x1)^2
x2 = 30^(0.5*2) / x1^2
x2 = 30/x1^2
x2 = 30x1^-2
Hence the correct option is d).
A firm has the production function f(x1, x2) = x11x0.502. The isoquant on which output is...
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