Kuan3986 Kuan3986

08-03-2024
Business

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A competitive, profit-maximizing firm uses two inputs L and K. Its production function is F(L,K) = L^{1/2} K^{1/2}. Its output sells for $5 per unit. The price of input L is $1 per unit. If the price of output rises to $6 per unit but factor prices do not change,

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