【文章內(nèi)容簡(jiǎn)介】 d as the transformation of inputs into output.Production function is the process of getting the maximum output from a given quantity of inputs in a particular time period. It is expressed as: Q=f (X1, X2, X3…………Xn) TOTAL PRODUCT: Total quantity of goods amp。services produced by the firm with the given inputs during a specify period of time.Average Product: It is the amount of output of produced per unit of the variable factor employed.Marginal Product: It is the change in the Total Product resulting from the employment of an additional unit of a variable factor.Return of a Factor: The Law Of Variable Factor。 It states that when total output is increased by adding units of a variable input, while other inputs are held constant, the increase in the total production bees after some point, smaller and smaller.Return to scale: It states that when all factors of production an increas3d in the same proportion, the output will increase but the increase may be at increasing rate or constant or decreasing rate.QUESTIONS: what is production? Transformation of inputs into output what is called for That? what are necessary inputs for production? Inputs which a producer or a firm acquires for the Process of production? What are factor inputs? What are non factor inputs? What is the process of production? Express the relationship between inputs used and output produced by a firm. What are factors of production? Which factor whose quantity may be changed as the level of output changes. Give example. What are variable factors? In which period all the factors can be changed? Which factor whose quantity cannot be changed as the level of output changes. Give example. What are fixed factors? What is short run and long run period? Can supply of the modity be adjusted in the short run? Give reason. Explain the technical relationship of production function. What is production function? How does short run production function differ from the long run production function? What is the relationship between the variable input and output, keeping all other inputs constant? What is the Total Product of an input? How is TPP derived from APP? What is APP of an input? What is MPP of an input? How is TPP derived from MPP schedule? When APP is at its maximum, what is the relationship between MPP amp。APP? When only one factor is increased and all other inputs are held constant. Examine the effects on output. What happens with the marginal product? Show the relationship between MP and AP of an Output with the help of diagram. What happens to the MP curve when the TP starts declining? MPP can be zero and negative () but APP never Bees zero. Give reason. is the law of diminishing marginal product? What does the law of variable proportion state? Identify the three phases in the Law Of Variable Proportions from the following: Units of factor12345TP (units)2050708060 Which of the stages of the Law of variable proportion is relevant for firm, which aims at maximum efficiency of profit? What is return to scale? What is called for all the factors when they are variable with the change in the level of output in the long run? Make the difference between Return to a factor and Return to a scale. How does Return to a factor differs from Returns to Scale? Explain the three laws of return to scale. What factors lead to Diseconomies, which cause Diminishing returns to scale? Name two factors behind increasing return to scale. How Specialization and division of labor lead to increasing return to scale? Complete the following table: Units of LabourTPAPMP12021223662222521 Two inputs Labour (L) and Capital (K) are used in Producing a product. Identify the various returns to scale From the following schedule. Give reasons also. Input bination1K+1L2K+2L3K+3L4K+4LTotal Output(units)100240360450 COSTConcept of the cost:It is the payment made to the factors of production, which are used in the production of that modity. Time factor is very important in the theory of cost.SHORT RUN COSTS: which are the costs over a period during which some factors are in fixed supply, like Plant, Machinery etc.LONG RUN COSTS: Which are the costs over a period long enough to permit change in all factors of production.TOTAL COST=TOTAL FIXED COST+TOTAL VARIBLE COST.AVERAGE COST= TOTAL COST/ NO OF UNITS PRODUCED.MARGINAL COST=TCnTCn1Relationship between MCamp。ACQUESTIONS: Give the name for payment made to the factors of production. In order to produce output what does a firm choose? What is the least cost bination of factors of production? Name the cost which do not change with the change of level of output. When does short run cost occurs? Does fixed cost exist in the long run? Give two example of fixed cost. What is that cost which is incurred on Building and Machinery. Why is the TFC curve is parallel to the Xaxis? Which cost is incurrered on production due to increase in the quantity of raw material amp。 units of labour etc. Define variable cost. Name the cost which can be changed with the change in level of output. When does long run cost occurs? Why is the variable cost curve is sloping upward? State one difference between fixed cost and variable cost. Which cost is per unit cost of production of a modity? Express total cost in terms of fixed cost and variable and fixed cost. Express ATC in terms of AFC amp。