If the Marginal Physical Product of More Labor Is Twice

question 203

Multiple Choice

If the marginal physical product of more labor is twice as high as the marginal physical product of more machinery, a rational firm should

• A)reduce the labor used and increase the machinery used if labor costs half as much as machinery.
• B)reduce the labor used and increase the machinery used if labor and machinery cost the same amount.
• C)reduce the labor used and increase the machinery used only if labor costs more than twice as much as machinery.
• D)reduce the labor used and increase the machinery used only if labor costs exactly twice as much as machinery.

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Definitions:

Pressing or Rolling Operation

A manufacturing process where metal is shaped by pressing or rolling, often used for forming sheets, plates, or profiles.

Fit Symbol

Symbols used in engineering to specify the type of fit between two mating parts; typically defines tolerance and type such as clearance or interference.

Thread Representation

A method in technical drawings to indicate the detailed characteristics of thread on a part, including major diameter, pitch, and thread form.

Loosest Threads

The threads within a fastening system that have the highest tolerance, allowing for easier engagement or disengagement.