The rule that states that the marginal revenue product equal to price does not hold when there are more than two inputs.

Name: The rule that states that the marginal revenue product equal to price does not hold when there are more than two inputs.
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Question

Quizplus · Accepted Answer

The rule that marginal revenue product equals price is not dependent on the number of inputs but on the condition of perfect competition in the output market. This rule applies regardless of the number of inputs used in production.

The Rule That States That the Marginal Revenue Product Equal