Question

Use production function (, ) =
and derive the followings:
a) Short-run and long-run profit functions
b) Short-run and long-run cost function
c) Short-run and long-run supply functions using Hotelling’s Lemma
d) Short-run and long-run supply functions using Shephard’s Lamma.

Answer 1

Answer:

Short-run and long-run cost function

Explanation: