Suppose the firm currently employs 500 workers and 100 units of capital and that the following relationship holds: mpl/w= 12/3=4 and mpk/c= 15/3=5. mpl and mpk are the marginal products of labor and capital, respectively. w is wage and c is the per unit cost of capital. prove that the firm is not at an equilibrium mix of labor and capital by clearly explaining how there is an opportunity to produce more of the good it is producing now at the same cost.

1. which one of the following would be an example of a supply-side market failure? a. a gas station is slowly leaking diesel fuel from its underground tanks, and after the leak is discovered, the business immediately cleans up the pollution at its own expense. b. a gas station is slowly leaking diesel fuel from its underground tanks, but the state uses taxpayer money to clean up the pollution rather than requiring the business to pay. c. your business wants to attract repeat customers by putting on a customer-appreciation picnic at a public park, but you decide not to because you couldn't prevent noncustomers from consuming the food and entertainment you provided. d. everyone rushes to the local retail outlet at midnight on the day of the release of a new video game console, and the store runs out before everyone is able to buy one.