Although Capital Is a Variable Factor in the Long Run,once

question 33

Multiple Choice

Although capital is a variable factor in the long run,once chosen it often becomes a fixed factor for a long time.A profit-maximizing firm must therefore select a method of production that is

• A)economically efficient at current factor prices.
• B)technologically advanced beyond methods currently used.
• C)labour intensive,as labour is always a variable factor.
• D)economically efficient at current factor prices and sufficiently flexible to adapt to changing factor prices over time.
• E)adaptable to wide ranges of output over time.

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Definitions:

Accountability

The obligation of an individual or organization to account for its activities, accept responsibility for them, and to disclose the results in a transparent manner.

Practical Intelligence

Intelligence that involves the ability to solve everyday problems by utilizing knowledge gained from experience in order to adapt to, shape, or select environments.

Sternberg's Triarchic Theory

A theory of intelligence that considers analytic, creative, and practical aspects.

Intrapersonal

Pertaining to the internal, psychological processes within an individual.