The Cobb-Douglas function

    P = f(N, V ) = 2N 0.6V 0.3 models the production of a small printing press P (in thousands of pages per day) as a function of the number of workers N and the value of the equipment V (measured in units of $25,000). (a) What is the production level of the company if it currently employs 100 workers and has 200 units (5 million dollars) worth of equipment? (b) Find a formula for the section P = f(N, 200) and use it to find fN (100, 200). What are the units? What does this tell you about production at this company? (c) Find a formula for the section P = f(100, V ) and use it to find fV (100, 200). What are the units? What does this tell you about production at this company? Problem 3. The quantity Q = f(b, c) of beef that a community buys each week (in pounds) is a function of the price of beef b (in dollars per pound) and the price of chicken c (in dollars per pound). (a) Do you expect fb(b, c) to be positive or negative? Explain. (b) Do you expect fc(b, c) to be positive or negative? Explain. (c) Suppose f(b, c) = 70, 000, fb(10, 4) = −4, 000, and fc(10, 4) = 2, 000 Estimate f(10.5, 3.75).