Multiple Choice
If the Cobb-Douglas production function for a beer manufacturer is q=1.52L⁰.⁶K⁰.⁴.Assume that the firm's capital is fixed at 250 units,the rental rate of capital is $5 per unit,and the wage rate is $10 per hour.The amount of labor needed to produce q units of output is
A) 0.0124q.
B) 13.832q⁰.⁶.
C) 0.0124q¹.⁶⁷.
D) 13.832q¹.⁶⁷.
Correct Answer:
Verified
Correct Answer:
Verified
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