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Unformatted text preview: x if ' denotes a change, then if I write: L TP ' ' thats the change in Total Production divided by the change in Labor. x Its the slope of the total production function. x Its the derivative of the production function with respect to labor input. x Its the marginal product of labor (MPL). So if you understand derivatives, youll understand the course material much better. a few preliminaries exponents You should recall from your high school algebra classes that when you see an exponent, it simply means multiply the number by itself the number of times indicated by the exponent. x x x x 3 Now if you divide both sides of the above equation by x: 2 3 x x x x x x x But what if you see the something like: x ? Well, thats simply equal to: 1 x x x x x 1 2 2 2 4 1 8 1 2 2 2 1 2 2 2 2 2 1 4 1 2 2 1 2 2 2 2 1 2 1 2 1 2 2 2 2 2 1 1 2 2 2 2 4 2 2 2 2 2 2 8 4 2 2 2 2 2 2 16 8 2 2 2 2 2 3 1 2 1 1 2 1 3 2 4 3 Page 17...
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This note was uploaded on 12/29/2011 for the course ECO 311 taught by Professor Willis during the Fall '10 term at SUNY Stony Brook.
 Fall '10
 willis
 Economics

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