# Assuming that the representative firm in an economy has the following production function

# Assuming that the representative firm in an economy has the following production function: The derivatives of the production function with respect to K and N are given as follow: Suppose the firm

Assuming that the representative firm in an economy has the following production function:

The derivatives of the production function with respect to K and N are given as follow:

Suppose the firm is currently renting K = 10000 and employing N = 6400. If the firm were to increase the amount of capital by 1 unit, how much additional output should the firm expect? Round your answer to at least 2 decimal places.