Hello, can someone please answer this question? It was previously answered on the site, but the tutor sent it personally to the student. I was trying to find the answer key to the question posted, but unfortunately couldn’t find one. It would be extremely helpful if someone could solve this, so I can check if my solutions are accurate. Thanks!
Suppose the production function for widgets is given by:Q = f (K, L) = KL ? 0.6K2 ? 0.2L2
(a) Suppose L=25 (is fixed), derive an expression for and graph the total product ofcapital curve (the production function for a fixed level of labor) and the averageproductivity of capital curve.
(b) At what level of capital input does the average productivity reach a maximum?How many widgets are produced at this point?
(c) Again, assuming L=25, derive an expression for and graph the MPK curve. Atwhat level of capital input does MPK =0?
(d) Does this production function exhibit constant, increasing or decreasing returns to scale?