If a firm's MRP of capital = MFC, the firm
A) is at its profit-maximizing use of loanable funds
B) should decrease its quantity demanded of loanable funds
C) should increase its quantity demanded of loanable funds
D) should hire more labor
E) should raise the interest rate
Correct Answer:
Verified
Q52: Q53: When the price of a good increases, Q54: If the rate at which one can Q55: If a firm's MRP of capital > Q56: If a firm's MRP of capital < Q58: When the rate of interest (or price Q59: When the rate of interest (or price Q60: If the productivity of capital increases, the Q61: The quantity supplied of loanable funds Q62: The reward that lenders of loanable funds
A)
A) is
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