Suppose that Silvia's Dance Studio uses both labor and capital to teach dance lessons.Given her current mix of labor and capital,the cost efficiency of labor is 1 dance lesson per dollar,and the cost efficiency of capital is 5 dance lessons per dollar.Silvia should
A) Hire less labor and use more capital.
B) Use only capital to produce the lessons.
C) Use less capital and hire more labor.
Correct Answer:
Verified
Q67: Q68: Democrats argue that labor demand is _,so Q69: Q70: If the price for a box of Q71: The cost efficiency of labor is equal Q73: The efficiency decision involves choosing the input Q74: When the minimum wage is raised in Q75: If the demand for hair gel increases,the Q76: When there are more qualified applicants than Q77: If the cost efficiency of labor equals
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents