A Competitive Firm Uses a Single Input X to Produce

question 51

Multiple Choice

A competitive firm uses a single input x to produce its output y.The firm's production function is given by y =x^3/2 for quantities of x between 0 and 4.For quantities of a greater than 4, the firm's output is y = 4 + x.If the price of the output y is $1 and the price of the input x is $3, how much x should the firm use to maximize its profit?

• A)16/9
• B)4
• C)0
• D)4/9
• E)9/2

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Definitions:

Injured on the Job

Pertains to an employee suffering physical or mental harm or illness as a direct result of their work or work environment.

Bona Fide Occupational Qualification

An employment qualification that is reasonably necessary for the normal operation of a particular business or enterprise, and can justify discrimination based on characteristics like religion, nationality, or gender in certain circumstances.

Discriminate

To treat someone or something differently or unjustly, often based on characteristics like race, age, gender, etc., rather than individual merit.

Hiring

The action of starting a legal relationship between an employer and employee where the employee performs work under certain conditions in exchange for remuneration.