Cost - Washington State University
Under CRS, if we double the inputs, output will double, Y2 = 2Y1, and total cost will double, C2 = 2C1. ... recall that if L 2 = 2L 1 and K 2 = 2K 1, cost doubles, C 2 = wL 2 + rK 2 = w(2L 1) + r ... This raises a major problem for other European countries. Is a Toyota Camry, best selling car in the world now, made in Britain a British car or a ... ................
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