Answer to Question #171608 in Microeconomics for Rodgers Njogu

Question

production function Q=L,K

min cost of production is 4units and w=1unit and r=1unit.

What would be the value of Q(output)?

Answer 1

If min cost of production is 4 units, w = 1 unit and r = 1 unit, then we will use 2 units of labor and 2 units of capital, and the value of output is Q(2,2).