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Why do people respond in socially desirable ways?
Variable Input
relates to a production factor that can be adjusted in the short term to change the level of output, such as labor or raw materials.
Marginal Revenue Product
The additional revenue generated by employing one more unit of a factor, such as labor, in the production process.
Competitive Industry
A competitive industry is characterized by many firms competing against each other to sell similar or identical products, with few barriers to entry for new firms.
Marginal Revenue Product
The extra income produced by employing an additional unit of a production input.
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