Production means activity on the use of factors of production (resources) in order to achieve the best result. If the amount of resource use is known, then the result is maximized, and vice versa, if the result to be achieved is known, then the amount of resources is maximized.

Under cost everything that the firm (manufacturer) purchases for further use in order to obtain the desired result is understood.

Release refers to any good (product or service) produced by a firm for sale. The activities of a firm can mean both production and commercial activity.

Within the framework of the theory of the firm In order to simplify the presentation of activities, it is customary to assume that the firm produces one good.

That's why economic activity The firm is described by a production function that includes variables for the production of one type of product or service:

Q \u003d f (F 1, F 2, F 3, ... F n), where

Q - the maximum volume of production at a given cost;

F 1 , F 2 , F 3 , … F n - the number of factors used.

The costs include all the factors of production used (labor, materials, equipment, the level of technical and organizational knowledge, when considering agricultural production, one more factor is taken into account - land).

In microeconomic analysis it is assumed that the level of organizational and technical knowledge is fixed, and all material factors are combined into one factor - capital. Therefore, the production function includes two factors on which output depends: labor and capital.

Consequently, production function characterizes the technical relationship between the amount of resources used and the maximum output per unit of time.

The production function describes a set of technologically efficient production methods, each of which is characterized by a certain combination of resources required to obtain a unit of output at a given level of technology. As a technological ratio, the production function can only be determined empirically by changing the actual indicators.

The production function has a number of features or properties:

1) the factors of production are complementary;

2) the absence of one of the factors makes production impossible;

3) the production function used at the macro level is called the function Cobb-Douglas:

Q \u003d f (k * K a * L b), where

Q - the maximum volume of output;

K - capital costs;

L - labor costs;

a, b - the elasticity of output with respect to the costs of the relevant factors (capital and labor); k - coefficient of proportionality or scale in the industry.

4) the production function is continuous and has no time limits, and therefore indicates the continuity of the production process.

Types of production functions:

Production functions are either static or dynamic.

Static production functions have the following form:

Y \u003d f (x 1, x 2, ... x n)

They do not include into itself an indicator of time, i.e. do not contain time as a factor that changes the main production characteristics of the dependence under study.

Among the static production functions, the most common are linear functions (y = a 0 + a 1 x 1 + a 2 x 2) and the Cobb-Douglas function.

Dynamic production functions have the following form:

y \u003d f (t, x i (t) ... x n (t)), where:

x i (t) - represents the dynamics of a certain production factor depending on time;

t - is a temporary independent variable that implicitly reflects the impact of all unaccounted factors on the performance of the indicator y.

Consider a graphical representation production function. The graph of the two-factor function Q = f (L,K) is an isoquant, which is a line of a constant level of output. Those. isoquant - there is a curve of an equal product or a set of possible combinations of factors of labor and capital, at which the same output is achieved.

Rice. 1.6. Two-factor production function

Isoquant map is a set of isoquants, each of which shows the maximum output using a certain combination of production factors.

Rice. 2.6. Isoquant map

The properties of isoquants include:

1) negative slope;

2) concavity to the origin;

3) never intersect;

4) show different levels of production.

Introduction

In conditions modern society no man can only consume what he himself produces. For the most complete satisfaction of their needs, people are forced to exchange what they produce. Without permanent production goods would not be consumed. Therefore, it is of great interest to analyze the regularities that operate in the process of production of goods, which further form their supply on the market.

The production process is the basic and initial concept of the economy. What is meant by production?

Everyone knows that the production of goods and services from scratch is impossible. In order to produce furniture, food, clothes and other goods, it is necessary to have the appropriate raw materials, equipment, premises, a piece of land, specialists who organize production. Everything necessary for the organization of the production process is called factors of production. Traditionally, the factors of production include capital, labor, land and entrepreneurship.

For the organization of the production process, the necessary factors of production must be present in a certain amount. The dependence of the maximum volume of the product produced on the costs of the factors used is called production function .

. Production functions, basic concepts and definitions

Factors of production

The material basis of any economy is formed from production. The economy of that country as a whole depends on the extent to which production is developed in a country.

In turn, the sources of any production are the resources that this or that society has at its disposal. “Resources are the availability of means of labor, objects of labor, money, goods or people for use now or in the future”1.

Thus, the factors of production are a combination of those natural, material, social and spiritual forces (resources) that can be used in the process of creating goods, services and other values. In other words, the factors of production are those that have a certain influence on the production itself.

AT economic theory Resources are divided into three groups:

• 1. Labor - a set of physical and mental abilities of a person that can be used in the process of manufacturing a product or providing a service.
• 2. Capital (physical) - buildings, structures, machine tools, equipment, vehicles necessary for production.
• 3. Natural resources - land and its subsoil, reservoirs, forests, etc. Everything that can be used in production in a natural, unprocessed form.

It is the presence or absence of factors of production in the country that determines its economic development. Factors of production, to some extent, are potential economic growth. How these factors are used depends on general position affairs in the country's economy.

Later, the development of the theory of "three factors" led to a more extended definition of the factors of production. Currently these include:

• 1. labor;
• 2. ground ( Natural resources);
• 3. capital;
• 4. entrepreneurial ability;
• 5. scientific and technological progress.

It should be noted that all these factors are closely interrelated. For example, labor productivity rises sharply when using the results of scientific and technological progress.

Thus, the factors of production are those factors that have a certain impact on the production process itself. So, for example, by increasing capital by acquiring a new production equipment, you can increase production volumes and increase revenue from product sales.

It is necessary to consider in more detail the existing factors of production.

Labor is the purposeful activity of man, with the help of which he transforms nature and adapts it to satisfy his needs. In economic theory, labor as a factor of production refers to any mental and physical efforts made by people in the process of economic activity.

Speaking about labor, it is necessary to dwell on such concepts as labor productivity and labor intensity. The intensity of labor characterizes the intensity of labor, which is determined by the degree of expenditure of physical and mental energy per unit of time. The intensity of labor increases with the acceleration of the conveyor, an increase in the number of simultaneously serviced equipment, and a decrease in the loss of working time. Labor productivity shows how much output is produced per unit of time.

The progress of science and technology plays a decisive role in increasing labor productivity. For example, the introduction of conveyors at the beginning of the 20th century led to a sharp jump in labor productivity. The conveyor organization of production was based on the principle of fractional division of labor.

The scientific and technological revolution has led to changes in the nature of work. Labor has become more skilled, physical labor is of less and less importance in the production process.

Speaking of land as a factor of production, they mean not only the land itself, but also water, air and other natural resources.

Capital as a factor of production is identified with the means of production. Capital consists of durable goods created by the economic system for the production of other goods. Another view of capital is related to its monetary form. Capital, when embodied in finance not yet invested, is a sum of money. In all these definitions there is a common idea, namely, capital is characterized by the ability to generate income.

Distinguish between physical or fixed, working and human capital. Physical capital is the capital materialized in buildings, machines and equipment, which functions in the production process for several years. Another type of capital, including raw materials, materials, energy resources, is spent for one the production cycle. It is called working capital. Money spent on working capital are fully returned to the entrepreneur after the sale of products. Fixed capital costs cannot be recovered so quickly. Human capital arises as a consequence of education, training and maintenance of physical health.

Entrepreneurial ability is a special factor of production by which other factors of production are assembled into an effective combination.

Scientific and technological progress is an important engine of economic growth. It covers a number of phenomena that characterize the improvement of the production process. Scientific and technological progress includes the improvement of technology, new methods and forms of management and organization of production. Scientific and technological progress makes it possible to combine these resources in a new way in order to increase the final output. At the same time, as a rule, new, more efficient industries emerge. The growth of labor efficiency becomes the main factor of production.

But it must be understood that there is no direct relationship between the factors of production and the volume of output. For example, by hiring new employees, the company creates the prerequisites for the production of an additional volume of products. But at the same time, each attracted new employee increases labor costs for the enterprise. In addition, there is no guarantee that the additional products released will be in demand by the buyer, and that the company will receive income from the sale of these products.

Thus, speaking about the relationship between the factors of production and the volume of production, it is necessary to understand that this relationship is determined by a reasonable combination of these factors, taking into account the existing demand for manufactured products.

An important role in understanding the problem of combining factors of production is played by the so-called theory of marginal utility and marginal cost, the essence of which is that each additional unit of the same type of good brings less and less benefit to the consumer, and requires an increase in costs from the producer. The modern theory of production is based on the concept of diminishing returns or marginal product and believes that all factors of production are interdependently involved in the creation of the product.

The main objective of any business is to maximize profits. One way to achieve this is through a judicious combination of factors of production. But who can determine what proportions of factors of production are acceptable for this or that enterprise, this or that branch? The question is how many and what factors of production should be used to obtain the maximum possible profit.

It is this problem that is one of the problems solved by mathematical economics, and the way to solve it is to identify the mathematical relationship between the factors of production used and the volume of output, that is, in constructing the production function.

Under "production" in modern economic science, it is customary to understand any activity of members of society in the use of natural resources. Human resources are also included in natural resources. The purpose of production activity is to create material and non-material benefits necessary for an individual member of society and society as a whole. Often in use under " production activities only the creation of tangible material wealth is understood. It seems that this interpretation of this category is inherited from Marxist-Leninist political economy, where activities in the so-called "material production" were emphasized, and all other activities were considered second-rate. At the same time, significant differences between the activities of workers in various spheres of production should also be taken into account.

It is one thing to work at a machine-building plant for the production of personal computers, another to design them, and a third to sell them. For the most part, the "theory of production" refers to the theory of the processes of transformation, or transformation, of resources into diverse types of products and services.

Because the manufacturing process has costs (costs) and results, then it is natural to raise the question of the production function. It is not uncommon for a production function to fall into purely technical categories. This appears to be inaccurate. Since the production function describes the relationship between costs and results, it inevitably comes into contact with the efficiency of the function itself and its arguments. Obviously, it is more correct to speak of the production function as an intermediate category. More efficient is the technological method of production that provides more products for given resources or, conversely, requires fewer resources to obtain a given volume of product. It is easy to see that the efficiency of various technological methods of production is largely determined by the level of prices for resources and products. Apparently, this is another argument in favor of considering the production function as a category close to the economic one. This is essential for society as a whole and for each economic agent.

Recording the production function does not present any particular difficulties for the students of the vast majority of universities, because they are well acquainted with mathematics.

So, production should be considered as a flow, i.e. in a certain dimension per unit of time. Since there are many chronological methods of production for the creation of each type of product, it is legitimate to assert that in the coordinate system of production factors there will be many points that display the corresponding number of factors needed for a given technological method production, i.e. providing a given output. Usually these points form curved lines and are called isoquants. Different combinations of factors of production have different levels of output. Therefore, on the graph of the production function, we observe a family of isoquants. The gap between isoquants in the coordinate system characterizes the differences in output volumes.

The change in the ratio between the factors of production used is reflected by the movement along each isoquant. One factor replaces another when creating a certain volume of product. This is called "substitution", and the slope of the isoquant is called the "marginal rate of substitution". It is clear that isoquants can have a variety of forms: a straight line (perfect substitution; constant rate of substitution); two segments connected together at a right angle; several segments connected at obtuse angles, etc.

In practice, in the competitive struggle for profit maximization, one of the most important means is to increase the volume of output. This can be achieved in two main ways: 1) intensify the use of cash production capacity; 2) make investments, i.e. expand capacity and attract new employees. In this regard, the time of production can be classified as instantaneous, medium (short) and long periods, which were discussed when considering the theory of supply and demand. Recall that with the expansion of production capacity, economies of scale arise.

The following variants of the scale effect are possible (Fig. 7.1). First, when the factors increase by several times, output increases in the same ratio. This will be constant returns to scale. Economies of scale can be increasing if the volume of production increases. If 1 \u003d 1, then the function is called "homogeneous" and n will be an indicator of homogeneity. If this condition is not met, then the function is non-homogeneous. For n = 1, the scale effect is constant and the function is said to be "linearly homogeneous". Thus, as n 1 returns to scale increase. Constant returns to scale usually occur in technologically simple industries. Negative economies of scale - mainly in complex industries, for example, with high technology.

Rice. 7.1. Scale effect: a - decreasing returns to scale; b - constant returns to scale; c is increasing returns to scale.

The relatively simple provisions made above make it possible, if necessary, to consider options for economies of scale in relation to instantaneous, medium and long periods at seminars.

Let's turn to another important point. So far, when we have discussed isoquants, we have not raised the question of their boundaries. This meant that, theoretically, isoquants had no boundaries. Of course it is. But the entrepreneur is not interested in the entire length of the isoquant, but only in that part of it, on which the marginal products of each of the resources remain positive, although they decrease. All points on isoquants, reflecting zero marginal products, form the boundaries of the effective region of isoquants (Fig. 7.2).

Rice. 7.2. A family of isoquants with a distinguished effective region

The primary basis of life is social production. Before engaging in science, art, politics, people must have a minimum means of subsistence: a roof over their heads, clothes, food. And therefore, if we want to touch the complex tangle of social relations, reveal economic ties, social processes and determine the direction, trends in their movement, we must first of all consider social production as the source of all prosperity.

Production is not the only factor that determines the wealth of countries and peoples. Economic development is influenced by natural resources, climate, natural fertility of the land, knowledge and experience accumulated by people, population size and other factors. However, society can obtain a certain result only if it uses the effect inherent in these factors in the production process.

Under production is understood as the process of man's influence on the objects and forces of nature and their adaptation to satisfy one or another of his needs. Three components interact in it: human labor power, objects of labor and means of labor.

Under labor force refers to the totality of physical and spiritual abilities that the body possesses and which are realized in the course of the labor process. As the social production the nature and content of the labor force are changing. In the early stages of the development of society, the main role was played by the physical abilities of a person to work. With the development of production, especially in the conditions of the modern scientific and technological revolution, more and more high requirements are presented to the mental abilities of a person, to his intellectual level, scientific and technical education, qualifications and other qualities.

The labor force acts as a personal factor of production, and the person as its carrier, the worker as the main productive force.

The subject of labor- this is all that human labor is aimed at, which constitutes the material basis of the future product. If at the dawn of civilization the object of labor was exclusively the substance of nature, then with the development of production, science and technology, among the objects of labor an increasing place is occupied by products of production, which are called raw materials.

Means of labor- these are things or complexes of things with the help of which a person processes objects of labor, influences them. These include a variety of tools, mechanisms, means of communication, means of communication, land, etc. As production develops, the means of labor develop, improve, and become more complex.

The objects of labor and the means of labor together act as a material factor of production, as means of production.

Production cannot be thought of as a mechanical combination of its elements. it a complex system the interaction of labor force with the means of production, i.e. with its material basis. The methods of combining the factors of production determine the system of production relations that dominate society. The content of production relations is determined by the level of development of the productive forces, and the nature of their manifestation is determined by the way the worker is connected with the means of production, i.e. ownership of the means of production.

In society, certain types, types of property always dominate: private, collective, small-scale labor, state, mixed, etc. At the same time, they change, develop under the influence of changes in the material conditions of production and are in various combinations, in constant relationships. If property relations cease to change, then the productive forces are fettered in their development, technical and social progress is hampered. Ownership relations determine the ownership of the produced product, the form of its distribution, the nature of exchange and the level of consumption. different groups of people. Often the concept of ownership comes down to the ownership of certain property, capital (plant, factory, house, bank account, etc.). This is not entirely true.

The volume of property of the mayor of the city is determined not by his bank account and personal property, but by the opportunities that the position actually gives him.

Every society is based on a few universal economic conditions. Some fundamental problems retain the same importance in the modern economy as they had in the ancient world. Any society, no matter what stage of civilization it is at, is always faced with three main and interrelated problems:

1. What should be done, i.e. Which of the mutually exclusive goods and services should be produced and in what quantity? What would you like to have immediately, what can you wait to receive, and what should you refuse altogether? Sometimes the choice can be very difficult.

2. How will goods be produced, by whom, with what resources and what technology, at what types of enterprises? There are various options for the production of the entire set of goods and each of them separately. According to various projects, it is possible to build an industrial and residential building, use land, produce cars, etc. The decision on production can be made at the level of the state or a private firm.

3.For whom are the produced goods intended, in what proportions will they be distributed among people, families, who will benefit from them? Since the number of goods and services created is limited, the problem of their distribution arises. The solution of this problem determines the goals of society, the incentives for its development.

These three questions are basic and common to all economic systems, for all households. At different stages of its development, society uses a different approach and tools to identify and take into account production and personal needs and to allocate material and human resources to activities where the necessary products, services and ideas are developed.

The economy of a modern state is divided into sectors. It includes manufacturing industries and types of non-manufacturing activities. The concepts of "production" and "non-production" spheres are the largest structural characteristics economy.

Non-manufacturing sphere(or the service sector) includes activities that do not create a material (material) product. As a rule, the following branches of the non-manufacturing sphere are distinguished:

· Department of Housing and Utilities;

· non-productive types of consumer services for the population;

· healthcare, Physical Culture and social security;

· public education;

· finance, credit, insurance, pension provision;

· Culture and art;

· science and scientific service;

· control;

· public associations.

Manufacturing("real sector" - in modern terminology) is a set of industries and activities, the result of which is a material product (goods). The composition of the branches of material production usually includes industry, agriculture, transport, communications.

The division into branches is due to the social division of labor. There are three forms of social division of labor: general, particular, individual.

General division of labor expressed in the division of social production into large spheres of material production (industry, agriculture, transport, communications ...).

Private division of labor is manifested in the formation of various independent branches within industry, Agriculture and other branches of material production. For example, in industry there are:

· electric power industry;

· fuel industry;

· ferrous metallurgy;

· non-ferrous metallurgy;

· chemical and petrochemical industry;

· mechanical engineering and metalworking;

· timber, woodworking and pulp and paper industries;

· building materials industry;

· light industry;

· food industry.

In turn, each of them consists of highly specialized industries. For example, non-ferrous metallurgy includes copper, lead-zinc, tin and other industries.

Single division of labor takes place in an enterprise, in an institution, an organization between people different professions and specialties.

The most important branch of production is industry, which consists of many branches and industries that are interconnected.

Under industry is understood as a set of enterprises that produce products that are homogeneous in terms of economic purpose and are characterized by the commonality of processed raw materials, the homogeneity of the technical base ( technological processes and equipment), professional staff.

1. Production means:

1) the process of creating wealth;

2) the process of converting productive resources into goods;

3) the process by which the problem of the rarity of goods is solved;

4) the process of creating goods that meet the requirements of the market.

2. The production function reflects:

1) any functional relationship between the input factors of production;

2) functional relationship between technology and output;

3) optimal combination production factors;

4) the ability of the enterprise to carry out profitable production.

3. Technological efficiency is:

1) the best way reducing production costs;

2) application of the most advanced technology for the given conditions;

3) the best way to replace workers in production with machines;

4) the best combination of production factors to ensure a given volume of output.

4. Long term versus short term:

1) avoids excessive use of equipment;

2) allows more extensive use of two-shift operation;

3) narrows the possibilities for restructuring production;

4) expands the capabilities of the enterprise in achieving technological efficiency.

5. A variable factor is a factor of production:

3) the productivity of which changes during the production process;

4) whose performance varies depending on the technology.

6. Which of the following can be attributed to a variable factor:

1) rolling stock railway;

2) hydroelectric turbine;

3) area trading floor retail store;

4) number of breeding stock.

7. A constant factor is understood as a factor of production:

1) the value of which can be changed within a short-term period;

2) the value of which can be changed within the long-term period;

3) the performance of which can be changed during the production process;

4) whose performance does not change depending on the technology.

18. Which of the following indicators characterizes the value of the production function:

1) the total product from the variable factor;

2) average product from a variable factor;

3) marginal product from a variable factor;

4) the average product of the constant factor.

9. The operation of the law of diminishing marginal productivity of the factor indicates that:

1) the immutability of technology limits the opportunities for increasing output;

2) the marginal product of the variable factor is always decreasing;

3) in long term an increase in the use of a factor leads to a decrease in its productivity;

4) in short term there are restrictions on the increase in output.

10. When the average product of a variable factor rises and its marginal product falls, we can say that:

1) the law of diminishing returns ceased to operate;

2) the total product of production began to decline;

3) more efficient technologies began to be used in production;

4) production has not reached its maximum output.

11. Effective use of the variable factor in production is achieved when:

1) the marginal productivity of its use is the same in all production processes;

2) most of it is used in the most efficient production process;

3) its average productivity is the highest;

4) its average productivity is higher than the marginal productivity.

12. It is optimal to use such an amount of a variable factor in which:

1) the highest marginal productivity of the factor is achieved;

2) the highest average productivity of the factor is achieved;

3) the maximum output is achieved;

4) the average productivity of the factor is higher than the marginal productivity.

13. When the average product from a variable factor increases, and its marginal product decreases, then a further increase in the application of the variable factor leads to:

1) reducing the efficiency of its use;

2) increase in the efficiency of its use;

3) violation of the optimal ratio of production factors;

4) decrease in the overall efficiency of production.

14. Which of the following definitions correctly characterizes the concept of "isoquant":

1) a line showing all combinations of factors of production that ensure equality in the productivity of factors;

2) a line showing all changes in factor productivity;

3) a line showing the ratio of the average productivity of factors in the short and long run;

4) a line showing all possible combinations of factors of production that provide a given volume of output.

15. The marginal rate of technological substitution is:

1) an indicator of the proportion in which the ratio of the average and marginal productivity of factors changes;

2) an indicator of the proportion in which one factor should be replaced by another while maintaining the same volume of output;

3) an indicator that reflects the degree of technological complexity of the replacement of production factors in the short term;

4) an indicator reflecting the degree of technological complexity of the replacement of production factors in the long run.

16. The optimal combination of production factors is achieved when:

1) the marginal rate of technological substitution is the maximum;

2) the marginal products of the factors of production are equal;

3) a stable excess of the average productivity over the limit is ensured;

4) completely exhausted positive effect scale.

17. Scale effect means:

1) the nature of the change in the ratio between the increase in factors of production and the change in output;

2) the nature of the change in the ratio between the increase in factors of production and the change in their productivity;

3) the nature of changes in the volume of output when using more efficient technology;

4) the nature of the change in the ratio between the volume of short-term and long-term output.

18. If the volume of output increases in proportion greater than the increase in factors of production, then in this case:

1) neutral scale effect;

2) decreasing economies of scale;

3) constant economies of scale;

4) positive economies of scale.

19. If the marginal rate of substitution of factors of production is zero, then we can say that:

1) reducing the factor by one does not cause changes in the volume of output;

2) technology does not allow the replacement of one factor by another;

3) go to new technology does not give any positive effect;

4) there is a neutral type of scale effect.

20. If the technology remains unchanged, then what can be said about the relative productivity of the factor of production for the short run and the long run:

1) it will be higher in the short term;

2) it will be higher in the long run;

3) it will be the same;

4) the type of period does not affect the performance of the factor.

21. The average product of a resource is called:

1) the ratio of the volume of the resource used to the total product;

2) additional output produced by incrementing a given factor of production;

3) the ratio of the total product to the volume of the resource used;

4) additional income received from the sale of an additional unit of production.

22. The enterprise doubled the amount of all resources. At the same time, the output increased by 1.5 times. It means that:

1) economies of scale are decreasing, but labor productivity has increased;

2) economies of scale are increasing, and labor productivity has increased;

3) economies of scale are decreasing, and labor productivity has decreased;

4) economies of scale are unchanged, and labor productivity has decreased.

23. If, with a constant output, the marginal product of labor decreases, then it can be argued that:

1) the average product of labor is growing;

2) the average product of capital decreases;

3) the average product of capital grows;

4) MRTS L ,K increases.

24. The enterprise uses capital K and labor L in such a combination that their marginal products are: MP K = 10, MP L = 16. The prices of factors are equal, respectively: Pk = 3, P L = 4. What will the company do:

1) use more labor and less capital;

2) use less labor and more capital;

3) use more labor and more capital;

4) use less labor and less capital.

25. An enterprise increases the use of labor and capital in the same proportion, while the elasticity of output with respect to labor increases, while the elasticity of output with respect to capital does not change. It means that:

1) MRTS L ,K decreased;

2) the marginal product of labor has decreased;

3) MRTS L ,K increased;

4) the production function is characterized by constant returns to scale.

26. An enterprise that has monopoly power in the market for products, but does not have a monopoly in the markets for factors of production, will hire:

1) more labor than competitive enterprises, but pay lower wages;

2) less labor and pay lower wages compared to competitive enterprises;

3) more labor and pay higher wages;

4) less labor and pay the same wages as competitive enterprises.

27. If an enterprise increases the cost of resources by 10%, and the volume of production increases by 15%, then in this case:

1) there is a negative effect on the scale of production;

2) the law of diminishing productivity is in effect;

3) there is a positive effect of scale of production;

4) the long-run average cost curve shifts up.

28. An enterprise that has a monopoly in the labor market but does not have monopoly power in the product market will:

1) hire less labor and pay lower wages than competitors;

2) hire more labor and pay higher wages;

3) hire less labor and pay the same wages as competitors;

4) hire more labor than competitors, but pay lower wages.

29. Derived demand for a production resource is determined by:

1) demand for other factors of production;

2) the type of market supplying the factor of production;

3) demand for the product supplied by the enterprise;

4) the marginal productivity of the factor of production;

30. When an enterprise acquires a production resource in a market characterized by imperfect competition, then, ceteris paribus, the firm will:

1) acquire a resource at a price below its marginal resource cost;

2) acquire a resource at a price higher than its marginal resource cost;

3) acquire a resource at a price equal to its marginal resource cost;

4) to acquire a resource at a price below its marginal cost and in a larger volume.

31. Unlike other markets for productive resources, the mechanism for establishing market equilibrium in the land market has the specific feature that:

1) buyers face an inelastic supply curve;

2) the rules for concluding transactions when buying land are regulated by the state;

3) buyers are faced with a lack of information;

4) land sellers interact strategically with each other.

32. Price of land:

1) is directly dependent on the interest rate;

2) determined by the quality of the land;

3) depends on the price of substitute factors;

4) represents a capitalized rent;

33. If the state raises the tax on land, then the consequence of this, other things being equal, will be:

1) an increase in the rate of land rent;

2) rent growth;

3) increase in the price of land;

4) reduction in the income of the owner of the land.

34. Monopsony is a type market structure, which has the following distinguishing features:

1) many sellers are opposed by one buyer;

2) a lot of buyers is opposed by one seller;

3) market demand is perfectly inelastic;

4) market demand is perfectly elastic.

35. The law showing that an increase in the cost of one resource with the same use of other resources and technologies brings less marginal income is called the law:

1) offers;

2) demand;

3) diminishing marginal utility;

4) decreasing marginal productivity.

36. The elasticity of demand for labor is higher:

1) the lower the share of labor costs in the costs of the enterprise;

2) the lower the price of finished products;

3) the higher the price elasticity of demand for finished products;

4) the less the possibility of replacing labor with capital in this process.

37. Suppose that the company acts as a monopsonist in the labor market. In equilibrium, the wages of its workers are:

1) is equal to the marginal product of labor in monetary terms;

2) less than the marginal product of labor in monetary terms;

3) more than the marginal product of labor in monetary terms;

4) any of the listed options is possible;

38. The demand of an enterprise for the labor of workers is described as L = 200 -0.3W, where L is the number of employees hired, W is the monthly rate wages. State-established minimum wage of 600 den. units per month. In these conditions maximum amount workers that the enterprise can hire is equal to:

39. If rent with land plot in 10 hectares amounted to 120 thousand den per year. units, and the bank interest rate is 20%, then the price of this land plot will be equal to:

1) 120 thousand den. units;

2) 240 thousand den. units;

3) 500 thousand den. units;

4) 600 thousand den. units

40. The investor invested 30 thousand den in the project. units, expecting to pay it back in 3 years. It is expected that the annual income will be constant, and bank interest will be equal to 10%. What level of annual income for the project is the minimum acceptable for an investor:

1) 10 thousand den. units;

2) 12 thousand den. units;

3) 14 thousand den. units;

4) 16 thousand den. units

41. If a landowner who receives from his plot of land of 4 hectares a rent of 2400 den. units per year, decides to sell it, then the price of land at a bank interest rate of 12% will be:

1) 20000 den. units;

2) 24000 den. units;

3) 28800 den. units;

4) 50000 den. units

42. The investor has invested 100 thousand den in the project. units, expecting to pay it back in 2 years. It is expected that the annual income will be constant, and the bank interest will be equal to 20%. Then the minimum acceptable level of annual income for the investor is:

1) 55 thousand den. units;

2) 60 thousand den. units;

3) 65 thousand den. units;

4) 70 thousand den. units

43. For the production of a certain product, 2 factors are required: labor and land. In which of the following cases is cost minimization achieved?