Microeco

[Nikkita]

Assume Y=f(K,L) . If L=5, then what is true about MPk from k=0 to 10

       i.           MPk = 1 when 0<k<5

       ii.          MPk = 0 when k>5

a)      Only i is true

b)      Only ii is true

c)       Both i and ii are true

d)      None of the above is true

(Correct Ans.= c), how??

[Nikkita]

Q 2. Assume that expenditure functions of two agents A and B, are given by eA(p,u) = k(u)g(p) and eB(p,u) = 2 eA(p,u), where k’(u) >0 , then observable market behaviour of A and B are the same

a)      True

b)      False

c)       Uncertain

(Ans= a)

[Nikkita]

Q: 3) f:R^2→R      f(x,y)=    2x^2y/x^4+y^2      (x,y)=/=(0,0)
                                          0                           (x,y)=(0,0)

a)      The function is continuous at (0.0)

b)      The function is not continuous at (0,0)

c)       The function is continuous at any point(x0,y0) if given epsilon>0, there exists delta>0 ,

√(x-x0)^2 +(y-y0)^2 <delta then |f(x,y)- f(x0,y0)| < epsilon but is not continuous at (0,0)

d)      None of the above

(Correct Ans: b or c??)