Solved

The Marginal Rate of Technical Substitution of Labour for Capital

Question 36

Multiple Choice

The marginal rate of technical substitution of labour for capital measures


A) the amount by which capital input can be reduced while holding quantity produced constant when one more unit of labour is used.
B) the amount by which labour input can be reduced while holding quantity produced constant when one more unit of capital is used.
C) the ratio of total labour to total capital.
D) the ratio of total capital to total labour.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q3: Suppose the production function for good q

Q31:

Q32:

Q34:

Q35: -Refer to the</p></div><svg width=

Q37: -Refer to the</p></div><svg width=

Q38: All combinations of the factors on the

Q39: An isocost line shows
A) the different combination

Q40: -Refer to the</p></div><svg width=

Q41: In theory, a cost-minimising firm will choose
A)

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents