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Showing posts with label Production and Cost Analysis. Show all posts
Showing posts with label Production and Cost Analysis. Show all posts

Tuesday, February 1, 2011

Production and Cost Analysis in the Short Run. (Microeconomic Analysis)

Solution is available here for U$0.25

1). The following table shows data for a simple production function.
a). from the information in the table, calculate marginal and average products.

Capital (K)
Labor (L)
Total product(TP)
Average product(AP)
Marginal product(MP)
10
0
0


10
1
5


10
2
15


10
3
30


10
4
50


10
5
75


10
6
85


10
7
90


10
8
92


10
9
92


10
10
90