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Suppose a firm can produce 70 units of a product, Zenia, by combining labor, land, capital, and entrepreneurial ability, as in the four alternative techniques shown in the table below. Assume further that the firm can hire labor at $3 per unit, land at $3 per unit, capital at $6 per unit, and entrepreneurship at $9 per unit. Refer to the provided table. If the price of labor declines from $3 to $2 per unit, then what is the least costly way of producing Zenias?
Sensorimotor Stage
The first of the four stages of cognitive development in Piaget's theory, occurring from birth to age 2, where infants learn about the world through their sensory impressions and motor activities.
Object Permanence
The understanding that objects continue to exist even when they cannot be observed (seen, heard, touched, smelled, or sensed in any way).
Conservation
The act of preserving, protecting, or restoring the natural environment and its wildlife.
Cognitive Development
The construction of thought processes, including remembering, problem solving, and decision-making, from childhood through adolescence to adulthood.
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