A product can be produced by using inputs L and K and firm’s present output position indicates MP k.


A issue can be effected by using inputs L and K and robust’s bestow output standing indicates

MP k = 3, P k = ` 1, MP L = 6 and P L = ` 4. Is the robust employing require minimizing combinations of input K and L? If not, what should the robust do? Explain the concept of economies of opportunity. How are they measured?