The price of labor relative to capital determines the amount of labor used relative to capital in a firm.
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Q126: Explain what happens to variable costs when
Q127: If the price of capital rises, the
Q128: Capital expansion can be shown as a
Q129: The long-run average total cost curve is
Q130: Explain what happens to the average total
Q132: In the long run, a firm can
Q133: Long-run average cost and short-run average cost
Q134: Capital expansion causes the average total cost
Q135: Economies of scale are the same as
A)decreasing
Q136: The firm expands its capital up to
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