Solve for the elasticity of substitution for the following production function using calculus:
y = ((a^p)+(b^p))^k/p
Solve for the elasticity of substitution for the following production function using calculus: y = ((a^p)+(b^p))^k/p
2. Marginal products, RTS, and elasticity of substitution: Consider the following production function: q=k *11/4 a. For some w, y, use the Lagrangean method to derive demand functions by finding the cost-minimizing combinations of k and I in terms of q, w, and y (so the cost function is the objective function, and the production function is the constraint). (10 points) b. What is the rate of technical substitution (RTS) for this function? (5 points) C. Presume that the firm...
a) Find the elasticity, using calculus, of P = -2Q + 9 when Q = 2 b)Find the elasticity, using calculus, of P = Q2 – 10Q + 25 when Q = 3
(a) Find the elasticity, using calculus, of P = -3Q + 18 when Q = 4 (b) Find the elasticity, using calculus, of P = Q^2-8Q+16 when Q=2
3. Calculate th elasticity of substitution for the production function
Problem 1 (a) Find the elasticity, using calculus, of P = -3Q + 18 when Q-4 (b) Find the elasticity, using calculus, of P = Q? - 8Q + 16 when Q = 2
1. Suppose that output is generated by the production function Y = F(K, L, M = AK1-0-BL M. where M is the quantity of raw materials used in production. What condition is necessary for the production function to exhibit constant returns to scale? 2. Suppose instead that output is generated by a "constant elasticity of substitution" (CES) production function, Y = F(K,L) = A(Kº + L), where a < 1. What condition is necessary for the CES production function to...
Derive the elasticity of substitution for the Cobb-Douglas production Fonction. f(L,K) = ALαKβ
6. Show that the constant-elasticity-of-substitution (CES) function is homogenous of degree U. f(x,y) = (x + y) (v/p)
Derive the long-run cost function for the constant elasticity of substitution production function q = (Lρ + Kρ)d/ρ Please explain the math to this. I don't understand the derivation of this.
2. Using substitution to simplify a problem (a) Solve the following (homogeneous) differential equation using the appropriate substitution. (b) Find the solution to the equation T+3 Hint: The same substitution wil no longer work, but the equation is almost homogeneous. Use a substitution of the form r- X - h, y-Y - k to reduce this problem to the problem solved in part (a), i.e. choose h and k so that this problem becomes homogeneous in the substituted variables X...