C. Minnie hasjust signed a contract to supply ‘i’ gadgets. Her production function is giyen by Q[I{,L} = A Kquot;quot;‘Lquot;2, where K is the amount of capital rented and L is the amount of labor

employed. The wage rate is w and the rental rate of cap’rtal is r.

15. Write down the l’u’linnie’s optimization problem.

15. Write down the ﬁrst order condition[s}_

1?. Solye the system of equation obtained from the ﬁrst order conditions to ﬁnd the optimal

amounts of cap’rtal and labor.

13. Write down the second order cond’rtions and checl-t whether they are satisﬁed.

19. What is l’u’linnie’s cost of producing Y gadgets? Calculate all the partial derivatives of

I’u’linnie’s cost function.

Economics

Math econ problems need the answer(1519) for the