Given the production function
Y=K^.4 N^.6 and A=1
Calculate the level of output when K=4 and N=10
To calculate the level of output (Y) when K=4 and N=10, we can substitute these values into the production function Y=K^0.4 * N^0.6.
Step 1: Substitute the values of K and N into the production function:
Y = 4^0.4 * 10^0.6
Step 2: Simplify the exponent terms:
Y = 1.3195 * 3.9811
Step 3: Calculate the product:
Y = 5.2487
Therefore, the level of output (Y) when K=4 and N=10 is approximately 5.2487.