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A Key Difference Between Neoclassical Theory and the Labor Theory

Question 51

Multiple Choice

A key difference between neoclassical theory and the labor theory of value is that


A) neoclassical theory treats production as a process in which three equal inputs - land, labor, and capital - are combined by entrepreneurs to produce products.
B) neoclassical theory treats production as a process in which labor combines inputs - land and capital - to produce products.
C) neoclassical theory treats production as a process in which four equal intputs - land, natural resources, capital, and entrepreneurship - are combined in order to produce products.
D) neoclassical theory and the labor theory of value have the same view of production.

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