Visual explanation of Production Theory, Total Product, Average Product, and Marginal Product of Labor used in economics classes. This is the first of three videos on the play list. Like us on: http://www.facebook.com/PartyMoreStudyLess
Views: 137313 Economicsfun
Given the basic form of the Cobb-Douglas production function, we'll find the partial derivatives with respect to capital, K, and labor, L. Thereby finding the marginal products of capital and labor. Starting with Cobb-Douglas production function: Y=F(K,L)=AK^α L^(1-α) Derivative of output w.r.t. Labor, then differentiation of production with respect to capital. Finding the wage rate and marginal product of labor. And finding the rental rate and the marginal product of capital. More Intermediate Macro Video: https://sites.google.com/site/curtiskephart/ta/intermediate-macro-solutions
Views: 205624 economicurtis
The short-run production function describes the relationship between output and inputs when at least one input is fixed, such as out output varies based on the amount of labor used. We can use this production function to find the total product of labor, the marginal product of labor, and the average product of labor. AP(R) Microeconomics on Khan Academy: Microeconomics is the study of individual decisionmakers in an economy, such as people, households, and firms. Learn how markets work, how incentives drive decisionmaking, and how market structure influences market outcomes. We hit the traditional topics from an AP Microeconomics course, including basic economic concepts, markets, production and costs, profit maximization perfect competition, imperfectly competitive market structures, game theory, factor markets, and income inequality. About Khan Academy: Khan Academy offers practice exercises, instructional videos, and a personalized learning dashboard that empower learners to study at their own pace in and outside of the classroom. We tackle math, science, computer programming, history, art history, economics, and more. Our math missions guide learners from kindergarten to calculus using state-of-the-art, adaptive technology that identifies strengths and learning gaps. We've also partnered with institutions like NASA, The Museum of Modern Art, The California Academy of Sciences, and MIT to offer specialized content.
Views: 6257 Khan Academy
This video provides a mathematical review (some calculus is used) of the key concepts in short-run production. You will learn how to derive the average product of labor and marginal product of labor functions,including how to find maximum short-run output, where average product is maximized, and where diminishing marginal returns to labor begin.
Views: 12253 1sportingclays
In this video on the marginal product of labor, we discuss some commons questions such as: How are wages determined? Why do most Americans earn so much by global standards? What exactly is meant by ‘human capital’? Do labor unions help workers, and if so, by how much? How does discrimination affect labor markets? How is the demand for labor different than the demand for a good? We’ll discuss how to derive the demand for labor based on the marginal product of labor, and use real-world examples — such as the demand for janitors in a fast food restaurant — to illustrate this calculation. We’ll also cover an individual’s labor supply curve vs. market supply of labor. Microeconomics Course: http://bit.ly/20VablY Ask a question about the video: http://bit.ly/1T7fDDC Next video: http://bit.ly/21Zs6u9 Help us caption & translate this video! http://amara.org/v/GZRc/
Views: 74927 Marginal Revolution University
I explain the idea of fixed resources and the law of diminishing marginal returns. I also discuss how to calculate marginal product and identify the three stages of returs: increasing, decreasing, and negative returns. For more econ stuff, visit my website www.ACDCEcon.com Get the Ultimate Review Packet http://www.acdcecon.com/#!review-packet/czji High school version of this video- https://www.youtube.com/watch?v=_TQ62MwzSrY Next Video- Economies of Scale https://www.youtube.com/watch?v=JdCgu1sOPDo Econmovies- https://www.youtube.com/playlist?list=PL1oDmcs0xTD9Aig5cP8_R1gzq-mQHgcAH Twitter (#askclifford) https://twitter.com/acdcleadership?lang=en By the way, I had some songs from West Side Story in my head while I was filming.
Views: 546475 Jacob Clifford
Tutorial on marginal productivity of capital (MPK) using the production function. Capital (K) is plotted along the x axis and Output (Y) is plotted along the y axis. Like us on: http://www.facebook.com/PartyMoreStudyLess
Views: 39812 Economicsfun
Thinking about how much incremental benefit a firm gets from hiring one more person Watch the next lesson: https://www.khanacademy.org/economics-finance-domain/microeconomics/firm-economic-profit/labor-marginal-product-rev/v/how-many-people-to-hire-given-the-mpr-curve?utm_source=YT&utm_medium=Desc&utm_campaign=microeconomics Missed the previous lesson? https://www.khanacademy.org/economics-finance-domain/microeconomics/firm-economic-profit/average-costs-tutorial/v/fixed-variable-and-marginal-cost?utm_source=YT&utm_medium=Desc&utm_campaign=microeconomics Microeconomics on Khan Academy: Topics covered in a traditional college level introductory microeconomics course About Khan Academy: Khan Academy offers practice exercises, instructional videos, and a personalized learning dashboard that empower learners to study at their own pace in and outside of the classroom. We tackle math, science, computer programming, history, art history, economics, and more. Our math missions guide learners from kindergarten to calculus using state-of-the-art, adaptive technology that identifies strengths and learning gaps. We've also partnered with institutions like NASA, The Museum of Modern Art, The California Academy of Sciences, and MIT to offer specialized content. For free. For everyone. Forever. #YouCanLearnAnything Subscribe to Khan Academy's Microeconomics channel: https://www.youtube.com/channel/UC_6zQ54DjQJdLodwsxAsdZg Subscribe to Khan Academy: https://www.youtube.com/subscription_center?add_user=khanacademy
Views: 146874 Khan Academy
Class 12 microeconomics... Production function... Types of production function.... difference between short run and long run production function Types of products... Contact for my book ..7690041256... Economics on your tips video 20 Our books are now available on Amazon Special Combo - Economics on your tips Micro + Macro http://amzn.in/d/eSxj5Ui Economics on your tips Macroeconomics http://amzn.in/d/2AMX85O Economics on your tips Microeconomics http://amzn.in/d/cZykZVK Official series of playlists UG courses ( bcom, bba, bca, ba, honours) – https://www.youtube.com/playlist?list=PLgC10_Xv-BGirAqOr-hU8e-N_Nz0UpgJ- Micro economics complete course – https://www.youtube.com/playlist?list=PLgC10_Xv-BGg5n3YU6oEV7_HIzBuEbbOz Macro economics complete course- https://www.youtube.com/playlist?list=PLgC10_Xv-BGg2ORORpILqiDR1gyH3MkXw Statistics complete course- https://www.youtube.com/playlist?list=PLgC10_Xv-BGjrAkDyeMioJ7DEexAEeVdt National income – https://www.youtube.com/playlist?list=PLgC10_Xv-BGjpE-1V4uz_0wvvbZQnSsj_ In order to promote us and help us grow Paytm on - 7690041256 Link for the previous video(video 19) Numerical problems of elasticity of demand(Class 12 microeconomics) economics on your tips video 19 - YouTube https://www.youtube.com/watch?v=0cJZZjiYcr4 Link for the next video(video 21) Class 12 microeconomics(law of variable proportion,return to a factor)economics on your tips video21 - YouTube https://www.youtube.com/watch?v=uSYPksuVkhM&t=25s
Views: 577977 Economics on your tips
In this video I explain the costs of production including fixed costs, variable costs, total cost, and marginal cost. Make sure that you know how to calculate the per unit costs: AVC, AFC, and ATC. Let me know what you think and please subscribe. Get the Ultimate Review Packet http://www.acdcecon.com/#!review-packet/czji Next video-drawing the cost curves https://www.youtube.com/watch?v=qYKJdooEnwU Watch Episodes of Econmovies- https://www.youtube.com/playlist?list=PL1oDmcs0xTD9Aig5cP8_R1gzq-mQHgcAH More videos about the costs of production- https://www.youtube.com/playlist?list=PLE70CA726102FB294
Views: 895404 Jacob Clifford
Learn Total, Average, Marginal Product, Learn Theory of Production, what is Production? Production Function? Law of Variable Proportion, Returns to Scale, Producers Equilibrium, Economics & Diseconomies of Scale. For Details Visit https://www.meraskill.com/ca-cpt/economics/theory-of-production WhatsApp Now 8692900017 https://www.meraskill.com/ our other chapters in this series Accounts by Sheela Madam http://bit.ly/AcctsIntro http://bit.ly/AcctJournaltoCB http://bit.ly/CR_ROE http://bit.ly/BankRecoS http://bit.ly/MSInventory http://bit.ly/MSDep http://bit.ly/MSFinalAc http://bit.ly/MSConsignment http://bit.ly/MSJointV http://bit.ly/MSBillsOfExchg http://bit.ly/MSSalesReturn http://bit.ly/MSPartnership1 http://bit.ly/MSPartnership2 http://bit.ly/MSCompanyActs1 http://bit.ly/MSCompanyActs2 Law by Bharat Sir http://bit.ly/MSNatureofContract http://bit.ly/MSConsideration http://bit.ly/MSEssentialElements http://bit.ly/MSPerformanceOfContract http://bit.ly/MSBreachOfContract http://bit.ly/MSContingent_Quasi http://bit.ly/MSFormationContractOfSale http://bit.ly/MSCondition_Wattanties http://bit.ly/MSTransferOfOwnership http://bit.ly/MSUnpaidSeller http://bit.ly/MSNatureOfPartnership http://bit.ly/MSRelationshipOfPartners http://bit.ly/MSRegistration_Dissolution Micro by Bharat Sir http://bit.ly/MSIntroMicroEconomics http://bit.ly/MSDemand http://bit.ly/MSTheoryofCB http://bit.ly/MSSupply http://bit.ly/MSTheoryOfProd http://bit.ly/MSTheoryOfCost http://bit.ly/MSMarket http://bit.ly/MSPriceDetermination Macro by Jaya Madam http://bit.ly/MSNatureOfIndianEconomy http://bit.ly/MSRoleOfDiffSectors http://bit.ly/MSNationalIncome_Tax http://bit.ly/MSPopulation_Poverty_Unemployment http://bit.ly/MSInfrastuctureChallnges http://bit.ly/MSBudget_Money_Banking http://bit.ly/MSEconomicsReforms Maths by Anand Sir http://bit.ly/MSRatio_Propr http://bit.ly/MSIndices_Log http://bit.ly/MSEquations http://bit.ly/MSInequalities http://bit.ly/MSInterest http://bit.ly/MSPermutaion_Combination http://bit.ly/MSAP_GP http://bit.ly/MSSets_Function http://bit.ly/MSLimits http://bit.ly/MSDifferentiation http://bit.ly/MSIntegration
Views: 27139 Mera Skill
This video explains how to determine the first order partial derivatives of the Cobb Douglas production function. The partial derivatives are also evaluated at a point Site: http://mathispower4u.com
Views: 13784 Mathispower4u
In this problem we're given a simple production function, a partially parameterized Cobb-Douglas Production Function. We derive output/production, then find the real wage rate (finding the marginal product of labor) and the rental rate of capital (finding the marginal product of capital along the way... actually the marginal product of land, but it's the same steps to find MPK). Lastly, finding the labor share of income, and the capital share of income. Plus a "trick" to find the factor share of income by just looking at the Cobb-Douglas production function. Part 1 of 3 - This video solves parts a and b below. More Intermediate Macro Video: https://sites.google.com/site/curtiskephart/ta/intermediate-macro-solutions ------------------------------------------ Suppose the production function in medieval Europe is Y=K^0.5 L^0.5, where K is the amount of land and L is the amount of labor. The economy begins with 100 units of land and 100 units of labor. Use a calculator and equations in the chapter to find a numerical answer to each of the following questions. a. How much output does the economy produce? b. What are the wage rate (skip to 5:33) and the rental price of land (skip to 18:00)? c. What share of output does labor receive? d. If a plague kills half the population, what is the new level of output? e. What is the new wage and rental price of land? f. What share of output does labor receive now? From Mankiw "Macroeconomics" (Intermediate level), 8th edition, Chapter 3 (The Open Economy) - Problem 2 -------------------------------------------------------------------------------------
Views: 66518 economicurtis
Visual tutorial on production theory. This video uses numbers to explain total product, average production, and marginal product. These are typical topics discussed in economics and especially microeconomics classes. Like us on: http://www.facebook.com/PartyMoreStudyLess PlayList on Production Theory : http://www.youtube.com/playlist?list=PLFF0FC31E6A4D8E82 Related Videos International Trade Edgeworth Box Diagram http://www.youtube.com/watch?v=7QFAQJBq1uk
Views: 179115 Economicsfun
Defines productivity of each worker (MPL) and explains how this may vary.
Views: 1234 Anil Lal
A look at Increasing and Decreasing Marginal Returns, and their relationship to productivity and costs. Handout for this video: http://www.burkeyacademy.com//home/introductory-micro-long-form-lectures/intro-micro-handouts/9%20Production.pdf These videos are part of a complete set of full-length lectures on Introductory Microeconomics. See the course with handouts at http://www.burkeyacademy.com/home/introductory-micro-long-form-lectures Playlist of all videos: https://www.youtube.com/playlist?list=PLlnEW8MeJ4z6xn7bgIvfs8sxL56QeTH6r Support this project on Patreon! https://www.patreon.com/burkeyacademy Or, a one-time donation on PayPal is appreciated! http://paypal.me/BurkeyAcademy My Website: http://www.burkeyacademy.com/ Talk to me on my SubReddit: https://www.reddit.com/r/BurkeyAcademy/
Views: 197 BurkeyAcademy
This video takes a fixed proportions production function Q = min(aL, bK) and derives and graphs the total product of labor, average product of labor, and marginal product of labor equations.
Views: 404 1sportingclays
To buy Full Course Lectures click the following link: https://www.instamojo.com/SudhirSachdeva/ Micro Economics DEMO Playlist: https://www.youtube.com/playlist?list=PLVE_dFhGA23xQvMSRRCekLAe0OPcURYj6 Please call @ 9999997086 To Buy Full Course Lectures CA/ CS/ CMA/ B.Com in Pen drive / Download link mode. This video explains definitions of Total Product, Average Product, Marginal Product and Law of Variable Proportions with examples and in depth analysis of the topics.
Views: 5524 SUDHIR SACHDEVA
This video is suitable for 12TH ECONOMICS | PRODUCTION FUNCTION | PRODUCTION FUNCTION RETURNS TO A FACTOR | VARIABLE FACTORS | FIXED FACTORS | SHORT RUN AND LONG RUN | CONCEPT OF VARIABLE FACTORS | MEANINGS OF VARIABLE FACTORS | SHORT RUN AND LONG RUN IN PRODUCTION FUNCTION | SHORT RUN AND LONG RUN CLASS 12 | SHORT RUN AND LONG RUN IN HINDI | LAW OF VARIABLE PROPORTION CA CPT | LAW OF VARIABLE PROPORTION CA FOUNDATION . To watch complete course click here :- https://www.vidyakul.com/super-saver/super-saver-by-chandan-sir For Videos related call at :- 9818434684 For Books related enquiry :- 8010201786 For any other Enquiry :- 9953633448 Mail ID :- [email protected]
Views: 18549 Grooming Education Academy by Chandan Poddar
Tutorial on Marginal Product, Production Theory for microeconomics and managerial economics classes. Like us on: http://www.facebook.com/PartyMoreStudyLess
Views: 60048 Economicsfun
This video derives all seven of the firm's short-run cost functions from a Cobb-Douglas production function.
Views: 94421 1sportingclays
Measures of Productivity - Average Product and Marginal Product of Capital and Labor - Sample Problem without Calculus
Views: 44170 jsearcysfc
Inputs can be divided into fixed and variable inputs. The production functions shows how inputs are changed into outputs. In the short run fixed inputs are unchanged while variable inputs change. The law of diminishing returns plays a central role in determining the cost of production for any kind of business. To understand the cost of production, you first need to understand the law of diminishing returns. The law of diminishing returns states that, as more of a variable input is used, while all the other inputs are being kept the same, each additional unit of the variable input will eventually produce less and less additional output. In other words, the marginal product of the variable input declines. The law of diminishing returns is, therefore, also known as the law of variable proportions.
Views: 32759 lostmy1
www.facebook.com/economicscoaching What is production function and what is marginal productivity dimnishing marginal productivity,b.a hons Economics videos, ignou Economics online videos, intermediate microeconomics lecture videos, microeconomics lecture videos, Economics lectures,snyder and nicholson class notes
Views: 216 IDEA TUTORS
Welcome to the Investors Trading Academy talking glossary of financial terms and events. Our word of the day is “Diminishing Marginal Product” Diminishing marginal product is the property whereby the marginal product of an input declines as the quantity of the input increases. Diminishing marginal productivity is the understanding that using additional inputs will generally increase output, but there also is a point where adding more input will result in a smaller increase in the output, and there is another point where using even more input will lead to a decrease in output. As an example, let’s consider a burger restaurant that wants to increase profitability. Increasing the amount of meta (the input) that goes on each burger can create a more delicious product and sell more burgers. But at some point, the burger reaches an optimal size. The amount of meat must be balanced with the cooking time, amount of ketchup and other condiments, if any. If the restaurant continues to add more beef to the burger beyond the optimal level, its sales will decline because customers will not enjoy burger that leave them with a messy burger and little else. If the restaurant wants to continue to increase its profitability after optimizing the amount of meat in its burger, it might look at increasing a different input, such as size of roll or condiments, or adding another product, such as fries or milk shakes. By Barry Norman, Investors Trading Academy - ITA
Views: 8551 Investor Trading Academy
Video no 26.In this video I am explaining the topic of Production function Total product Average product Marginal product Like and share the video Subscribe my channel to watch more videos of class Xll Economics Link to previous video -https://youtu.be/pqxAJOe4N_Y
Views: 11064 Easy Economics By Rashmi
It is a HD video. In case the video is blurred, click the gear wheel at the right bottom corner of the player and change the quality of the video. This lesson explains the basics of Relation between AP and MP curves. ISC, CA-CPT, B_Com, B.A and Post-graduate students can use it to their advantage. For more videos on Economics and Statistics, visit my BLOG http://economics-nallasivam.blogspot.in Send your feed back to - [email protected]
Views: 19853 Vellaichamy Nallasivam
SUPPORT Enhance Tuition - donate via this link: https://www.paypal.me/Junaid1022 DOWNLOAD all the PowerPoints from Unit 1 FREE: https://payhip.com/b/apTj www.enhancetuition.co.uk Email me: [email protected] In this video, you will learn: - How total product, average product and marginal product are determined - How to graph total product (TP), average product (AP) and marginal product (MP)
Views: 405 EnhanceTuition
Learn more: http://www.policonomics.com/marginal-rate-of-technical-substitution/ Spanish version: https://youtu.be/RmO5Ckm4Tb0 This video explains how to calculate and use the marginal rate of technical substitution (MRTS). We start by learning how to calculate it, then move on to use it in order to properly draw isoquant curves and, finally, we analyse the MRTS for different kinds of isoquants. Related videos: -Isoquants: https://www.youtube.com/watch?v=xKUP1GEuUCc&list=PLr3ti8G3MCupcsVLkr7ayC_ziNbi9l4De&index=3 -Production function: https://www.youtube.com/watch?v=A5E1sOYh6No&list=PLr3ti8G3MCupcsVLkr7ayC_ziNbi9l4De&index=2 Related articles: -Marginal rate of substitution: http://www.policonomics.com/marginal-rate-of-substitution/ -Isoquants: http://www.policonomics.com/isoquant/ Thank you for watching! http://www.policonomics.com Learn, and enjoy!
Views: 76519 Policonomics
I discuss how to find the profit-maximizing quantity of labor in the short run (i.e., when capital is fixed), providing two numerical examples.
Views: 10862 1sportingclays
Linear Programming, Calculating Marginal Product,Production Function, Marginal Product of Labor & Material which measures Output of The Last Unit Added, Partial Derivative F(x) Derivative, Keep One Variable Constant & Differentiate The Other, examining the marginal products thru plots, etc., details by Allen Mursau
Views: 289 Allen Mursau
This videos describes how to produce a given level of output by choosing the cost-minimizing quantities of labor and capital inputs.
Views: 89697 1sportingclays
Register StudyKhazana and Get 200Rs. Use REFERRAL CODE:- JRUUD Production function is a part of Unit-3. In this you will study the following: Production Funtion: Short run and Long Run Total Product, Average Product and Marginal Product. Return to a factor. cost and Revenue: Short run costs, total variable cost, Average costs, Average fixed cost, Average variable costs and marginal cost-meaning and their relationship. Producer's equilibrium, its meaning and its condition terms of marginal revenue -marginal cost. Supply, market supply, determinants of supply, supply schedule, supply curve and its slope, movement along shift in supply curve, price elasticity of supply. (a) Percentage change Method (b)Geometric Method In this video you will learn about Production Function with a proper flow chart , You will learn ab Short run and Long run, Types of Input, Fixed factor of production, Variable of Production, Period and types of period, Total Product, average Product, Marginal product, their formulas and you will solve some problems based on above. About the Instructor: Aditi Mam is a very interactive teacher and has made the entire lecture very very interesting and provides you the proper notes which are enough to study for exams.Watching it you will find it as if you are in a real class. She has taken care of all your doubts so she always gives you some very practical examples that you could relate to yourselves. Moreover she has defined each and every term with their differences as well. ** Stay Connected with Us ** https://www.facebook.com/studykhazana https://twitter.com/studykhazana Full Course and Lecture Videos now available on (Study Khazana) login at http://studykhazana.com/ Contact Us : +91 8527697924 Mail Us : [email protected]
Views: 30170 Study Khazana
This video derives the following expression for marginal cost: MC = wage/marginal product of labor, which is then used along with the firm's production function to solve for the marginal cost equation.
Views: 179 1sportingclays
Useful to ISC, CBSE, Plus 2, BA., B.com, BBA, MA, MBA, CPT, and ACS. Channel for Economics Lessons https://www.youtube.com/c/vellaichamynallasivam Find Answers to important questions in Economics https://www.youtube.com/channel/UCLbKY1b9nMFmnmJg39zU5jQ For More lessons visit http://economics-nallasivam.blogspot.in Send your feedback to – [email protected]
Views: 3547 Mirdhul Mahadev
Microeconomics Chapter 7 Production function and returns to factor Law of diminishing returns to factor Law of increasing returns to factor law of constant returns to factor Relation between total product and marginal product relation between marginal product and average product relation between TP and MP relation between AP and MP production function and returns to factor https://www.youtube.com/watch?v=A90bSM39m1o&t=43s Law of diminishing returns to factor https://www.youtube.com/watch?v=A90bSM39m1o&t=43s Microeconomics chapter 1 https://www.youtube.com/watch?v=g41OMW0LUIg&list=PLx0knzIJInnccC-dHY70fBqy9UyZH18Js microeconomics chapter 2 central problems of an economy https://www.youtube.com/watch?v=8E5ZFnXvEd4&list=PLx0knzIJInneYizd1FtB-WEJtsQ3Y6PWa Price elasticity of demand https://www.youtube.com/watch?v=G7ZvwRLWpoM&list=PLx0knzIJInnfhLSYMiQM-f9NNtRjqtnUb consumer's equilibrium IC analysis https://www.youtube.com/watch?v=d3Upk3YxpkY&list=PLx0knzIJInndE4vP3bHAf3n7mw02izpcr microeconomics chapter 1 economics and economy https://www.youtube.com/watch?v=g41OMW0LUIg&list=PLx0knzIJInnccC-dHY70fBqy9UyZH18Js microeconomics chapter 2 cental problems of an economy https://www.youtube.com/watch?v=KYJ62TgCz00&index=2&list=PLx0knzIJInneYizd1FtB-WEJtsQ3Y6PWa microeconomics chapter 3 consumer's equilibrium utility analysis https://www.youtube.com/watch?v=-DpcDMEtWKw&list=PLx0knzIJInncSpYGPkvVMTWProQy9bJee microeconomics chapter 4 consumer's equilibrium indifference curve analysis https://www.youtube.com/watch?v=d3Upk3YxpkY&list=PLx0knzIJInndE4vP3bHAf3n7mw02izpcr microeconomics chapter 5 theory of demand https://www.youtube.com/watch?v=hc0uPdTGL4o&list=PLx0knzIJInndEYslKIqvPOxpgDeAjl_zy microeconomics chapter 6 price elasticity of demand https://www.youtube.com/watch?v=G7ZvwRLWpoM&list=PLx0knzIJInnfhLSYMiQM-f9NNtRjqtnUb microeconomics chapter 7 production function and returns to factor https://www.youtube.com/watch?v=9CxaKtP27bw&list=PLx0knzIJInncGebE8ShuYDYZNX-ormBZV macroeconomics national income complete chapter new syllabus class 12 https://www.youtube.com/watch?v=LWOLBC52ouA&list=PLx0knzIJInncYxm8fLaBDkmoa_XNUzANc
Views: 5617 Jhansi Institute of Commerce
For the Advanced Microeconomics Review please go to: http://bit.ly/2aj1txm "AP" is owned by the College Board which does not endorse this site or the above review. Study questions: 1) How does a firm determine how many workers to use? 2) How is MRP & MPL calculated? 3) If the wage of employees in perfect competition goes up, what would you expect to happen to the number of workers that the firm uses? 4) If demand for the product goes up (so price goes up), what would you expect to happen to the number of employees used? Explain 5) Based on the numbers below, state how many workers you think should be used. Assume that the product is produced in a perfectly competitive market where price = $2. Also, assume that labor is in a perfectly competitive market, with a going wage of $40 per day... # of workers 0 & output = 0 # of workers 1 & output = 30 # of workers 2 & output = 50 # of workers 3 & output = 65 # of workers 4 & output = 75 # of workers 5 & output = 79 6) Do the output numbers in question five show the law of diminishing marginal returns? Why or why not?
Views: 149492 AdvancedEcon
Production functions describe how output is determined by various inputs. The short run is defined as the period of time in which at least one input is fixed. Anything longer than that is considered the long run. AP(R) Microeconomics on Khan Academy: Microeconomics is the study of individual decisionmakers in an economy, such as people, households, and firms. Learn how markets work, how incentives drive decisionmaking, and how market structure influences market outcomes. We hit the traditional topics from an AP Microeconomics course, including basic economic concepts, markets, production and costs, profit maximization perfect competition, imperfectly competitive market structures, game theory, factor markets, and income inequality. About Khan Academy: Khan Academy offers practice exercises, instructional videos, and a personalized learning dashboard that empower learners to study at their own pace in and outside of the classroom. We tackle math, science, computer programming, history, art history, economics, and more. Our math missions guide learners from kindergarten to calculus using state-of-the-art, adaptive technology that identifies strengths and learning gaps. We've also partnered with institutions like NASA, The Museum of Modern Art, The California Academy of Sciences, and MIT to offer specialized content. For free. For everyone. Forever. #YouCanLearnAnything https://www.youtube.com/subscription_center?add_user=khanacademy
Views: 4984 Khan Academy
This video reviews perfect substitutes (labor and capital) in production, providing a numerical example. Although not mentioned in the video, the distinguishing feature of perfect substitutes is that the marginal rate of technical substitution (MRTS) is constant (i.e.,the slope of the isoquant does not change). The MRTS = marginal product of labor / marginal product of capital.
Views: 16596 1sportingclays