a)briefly explain the concept of " Return to Scale". What form of "Return to Scale" does the following production function exhibit? explain
Q= f (L,K) = L^(0.3) K^(0.7)
b) suppose a cost minimizing firm wishes to change its scale of production and needs to know the combination of labor and capital to employ. If the firms total cost outlay is $14, find this combination using the information below and given that the prices of labor and capital are $1 and $3 per unit respectively
Q 0 1 2 3 4 5 6 7 8
TPl 0 11 20 28 35 41 45 46 46.5
TPK 0 24 45 63 78 87 93 96 97