Post Utme Oau 2018 Economics Question 36
Practice objective / multiple choice question 36 from the 2018 Post Utme Oau Economics examination.
Consider a small open economy with a production function given by Q = 100L^0.5K^0.5, where Q is output, L is labor, and K is capital. If the economy is initially at full employment, and the wage rate is ₦100 per unit of labor, and the rental rate is ₦200 per unit of capital, calculate the change in the value of the marginal product of labor \( VMP_L \) if the wage rate increases by 10%.
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About This Question
This is Post Utme Oau 2018 Economics Question 36. It is one of the objective questions from the 2018 Post Utme Oau Economics examination.
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