Applying the least-cost rule to two factors, a firm will
A) maximize profits at the output at which MRP = MFC.
B) minimize costs when the MPP of factor A equals the MPP of factor B.
C) minimize costs when the MRP of factor A equals the MRP of factor B.
D) minimize costs when the MPP of factor A divided by the price of A equals the MPP of factor B divided by the price of B.
Correct Answer:
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Q40: A firm's factor demand curve is also
Q41: A firm obeys the least-cost rule for
Q42: Firm X is a monopolistic competitive firm
Q43: Value marginal product (VMP) equals
A)P x MPP.
B)P/MPP.
C)P
Q44: For a perfectly competitive firm,
A)VMP > MRP.
B)VMP
Q46: For a product price searcher (such as
Q47: Value marginal product (VMP) is
A)a measure of
Q48: For a perfectly competitive firm, when the
Q49: Elasticity of demand for labor measures the
Q50: A measure of the value that one
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