This preview shows pages 1–2. Sign up to view the full content.
EC201, Fall 2007, Prof. Jordi Jaumandreu
Solutions to Problem set #3
Production Function
1. Total product: up to 6 workers a line with 45
o
inclination, from 6 workers
on a horizontal line hitting the yaxis at 6; Average product of labor: up to
6 workers a horizontal line at the value 1, fron 6 workers on a continuously
decreasing line (with value
AP
L
=
6
L
); Marginal product of labor: up to 6
workers a horizontal line at the value 1, from 6 workers on the xaxis (marginal
product is zero).
2. a. The isoquants have right angles on the ray with a slope 2. If we
f
x capital at 12, we will have exactly the Total product, Average product and
marginal product curves of the previous problem.
3. (ATTENTION: there is a typo in this problem in the textbook problem
10 at page 175 production function must be
q
=
B
+
1
2
G
)S
o
l
v
i
n
g
f
o
rGw
e
This preview has intentionally blurred sections. Sign up to view the full version.
View Full Document
This is the end of the preview. Sign up
to
access the rest of the document.
This note was uploaded on 07/16/2009 for the course EC 201 taught by Professor Idson during the Fall '08 term at BU.
 Fall '08
 Idson
 Microeconomics

Click to edit the document details