According to the Neoclassical Theory of Distribution, If Firms Are

question 106

Multiple Choice

According to the neoclassical theory of distribution, if firms are competitive and subject to constant returns to scale, total income in the economy is distributed:

• A)only to the labour used in production.
• B)partly between labour and capital used in production, with the surplus going to the owners of the firm as profits.
• C)equally between the labour and capital used in production.
• D)between the labour and capital used in production, according to their marginal productivities.

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Definitions:

Retired Judge

A judge who has left their official position upon reaching a certain age or fulfilling specific service requirements, sometimes available for temporary or part-time judicial duties.

Immediate Supervisor

The person who has direct oversight and responsibility for an employee's workload and performance in an organizational setting.

Open Door

A policy that allows employees to directly discuss their ideas, suggestions, or complaints with management without fear of repercussion.

Immediate Supervisor

The direct manager or authority figure responsible for overseeing an employee's daily performance and tasks.