A Major Criticism of the Marginal Productivity Theory of Income

question 144

Multiple Choice

A major criticism of the marginal productivity theory of income distribution is that

• A)the demand for labor resources is price inelastic.
• B)achieving equality in incomes will take time.
• C)imperfectly competitive firms are only interested in profit maximization.
• D)property resources like land are unevenly distributed, which leads to income inequality.

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