Let us consider a special case of Cobb-Douglas Production Function:
The calculation and graphing of this production function have been done by using MS Excel:
Q=100*SQRT(2LK) | ||||||
Labour (L) | Capital (K) | A | SQRT of L | SQRT of K | SQRT of 2 | 100*SQRT(2*L*K) |
1 | 6 | 100 | 1 | 2.44949 | 1.414214 | 346 |
2 | 3 | 100 | 1.414214 | 1.732051 | 1.414214 | 346 |
3 | 2 | 100 | 1.732051 | 1.414214 | 1.414214 | 346 |
6 | 1 | 100 | 2.44949 | 1 | 1.414214 | 346 |
Capital (K) | 6 | 346 | 490 | 600 | 693 | 775 | 849 |
5 | 316 | 447 | 548 | 632 | 707 | 775 | |
4 | 283 | 400 | 490 | 566 | 632 | 693 | |
3 | 245 | 346 | 424 | 490 | 548 | 600 | |
2 | 200 | 283 | 346 | 400 | 447 | 490 | |
1 | 141 | 200 | 245 | 283 | 316 | 346 | |
0 | 1 | 2 | 3 | 4 | 5 | 6 | |
Labour (L) | |||||||

No comments:
Post a Comment