(30 Points) Consider a firm with short-run production function Q=K+L. Right now, the firm has 10 units of K, w = 3, and r = 10. (a) (2.5 Points) Graph the short-run total product curve. (b) (2.5 Points per curve) Graph the short-run marginal and average product curves. (c) (2.5 Points per curve) Graph the short-run total cost, variable cost, and fixed cost curves. (d) (2.5 Points per curve) Graph the short-run marginal cost, average total cost, average variable cost, and average fixed cost curves. (e) (2.5 Points) In the long-run, what is the cost minimizing way for the firm to produce 100 units of output? (f) (2.5 Points) What is the total cost of producing the 100 units of output
Files: homework7_2017.pdf
