Answer to Question #18062 in Microeconomics for Milena

Question #18062
A firm's production function is given by y(K,L) = min(K,L). Each unit of K and L costs 1 Euro.
a) For an output level of y show the cost-minimizing input choice in a graphic.
b) The price of K increases to 2 Euro per unit. How does this affect the choice of inputs? If you want to keep the output level of production constant by how much do the production costs increase?
0
Expert's answer

Not answered

Need a fast expert's response?

Submit order

and get a quick answer at the best price

for any assignment or question with DETAILED EXPLANATIONS!

Comments

No comments. Be first!

Leave a comment

Ask Your question

LATEST TUTORIALS
New on Blog
APPROVED BY CLIENTS