ECON 331Written Assignment 9due in class Nov. 251. LetyfK,Lbe a production function and suppose that the factors ofproduction are paid according to their marginal value products. That is ifpis the priceof the outputy,ris the price of capitalKandwis the price of labourLthenpfKrpfLwSuppose also that the firm’s employment of capital and labour are both growing ata continuous rate ofa%per year. That isKtK0eatLtL0eatThen lettingytfKt,Ltshow thatdy/dtis also a constant timeseat.2. Given the functionfx,yx3xy2x4find an expression for the slope of the tangent line to a level curve off. Then findthe slope of the tangent line to the level curve which passes through the point
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