For: Questions and
answers email: theotherwomaninmarriage@gmail.com
QUESTION:
Given the following function:
Q=10L+6L2-0.02L3
Where L is the labour
and ranges from 1 to 10. Does this function
exhibit the law of diminishing marginal productivity for labour?
SOLUTION:
Yes
– the function exhibit the law of diminishing marginal productivity for labour.
Then
solution to the function:
Q=10L+6L2-0.02L3
Where
L = 1:
Q=10
(1) + 6 (1)2 – 0.02 (1)3
Q=10
(1) + 6 (1) – 0.02 (1)
Q=10+6
-0.02
Q=16
-0.02
Q=15.98
Our
Q when L =1 is 15.98.
Explanation:
You
have to replace the figure of L which is one (1) in the once I just solve above
where ever you see L: You know we are to solve for 1 to 10: So, I will do another example of solving for
2 then you will do the rest for 3, 4, 5, 6, 7, 8, 9, 10.
So,
all we need to do, is to substitute each figure in where L is found in the
equation and solve.
Let’s
solve for 2 now:
Q=10L+6L2-0.02L3
Where
L = 2:
Q=10
(2) + 6 (2)2 – 0.02 (2)3
Q=10
(2) + 6 (4) – 0.02 (8)
Q=20+24
-0.16
Q=44
-0.16
Q=43.83
Our
Q when L =2 is 43.83.
You
can now solve for 3, 4, 5,6,…. To 10.
You
can do it.
You
can always contact theotherwomaninmarraige@gmail.com
in any area you don’t understand or comment directly on the blog and the grey
areas will be cleared.
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