FOUR MULTIPLE VARIABLES OF OPTIMAL PRODUCTION FUNCTIONS: THE CASE OF THAI AND MALAYSIA COOPERATIVES
Martino Wibowo 1, Yanto Sidik Pratiknyo 2 1 Universitas Terbuka Indonesia tino@campus.ut.ac.id 2 Universitas Terbuka Indonesia yantosp2013@gmail.com (correspondence author)

Universitas Terbuka

Abstract

The multivariable equation of the production function can be expressed in a power equation. This equation can specifically have four variables in this research. Cost is calculated for the optimal value for each variable using the Hamilton and Lagrange equation. Mathematically, the equation can be solved using the optimal control method with partial derivatives.
However, if the production function equation contains negative factors, then optimal costs can be in the form of complex numbers which involve imaginary numbers in the application, in these cases, Thai and Malaysia cooperatives are complex numbers.

Keywords: Hamiltonian, Lagrangian, Optimal Control

Topic: Functional Analysis