-Refer to Figure 7-13. The lines shown in the diagram are isocost lines. Which of the following shows a decrease in the price of capital while the price of labour remains unchanged?
A) the movement from AF to BF
B) the movement from BF to AF
C) the movement from BF to BD
D) the movement from BF to CE

Question

-Refer to Figure 7-13. The lines shown in the diagram are isocost lines. Which of the following shows a decrease in the price of capital while the price of labour remains unchanged?
A) the movement from AF to BF 
B) the movement from BF to AF 
C) the movement from BF to BD 
D) the movement from BF to CE

Quizplus · Accepted Answer

The Answer of 
-Refer to Figure 7-13. The lines shown in the diagram are isocost lines. Which of the following shows a decrease in the price of capital while the price of labour remains unchanged?
A) the movement from AF to BF 
B) the movement from BF to AF 
C) the movement from BF to BD 
D) the movement from BF to CE