Exercise 3 | Wiskunde op Tilburg University

Consider the production function

$P(L,K)=38L^{\frac{3}{13}}K^{\frac{10}{13}}$ . Determine the elasticity with respect to labor.

Antwoord 1 correct

Correct

Antwoord 2 optie

$\dfrac{10}{13}$

Antwoord 2 correct

Fout

Antwoord 3 optie

$\frac{4332}{13}L^{-\frac{20}{13}}K^{\frac{20}{13}}$

Antwoord 3 correct

Fout

Antwoord 4 optie

$\frac{114}{13}L^{\frac{3}{13}}K^{\frac{10}{13}}$

Antwoord 4 correct

Fout

Antwoord 1 optie

$\dfrac{3}{13}$

Antwoord 1 feedback

Correct:

$P(L,K)$ is a Cobb-Douglas function. (See Extra explanation: Cobb-Douglas functions.)

Go on.

Antwoord 2 feedback

Wrong: That is the partial elasticity with respect to capital, not to labor.

Try again.

Antwoord 3 feedback

Wrong:

$\epsilon_L \neq P'_L(L,K)\cdot \dfrac{P(L,K)}{L}$ .

See Partial elasticity.

Antwoord 4 feedback

Wrong:

$\epsilon_L \neq P'_L(L,K)\cdot L$ .

See Partial elasticity.