What Is the Marginal Product of Capital Equal To

question 53

Multiple Choice

What is the marginal product of capital equal to?

• A) the increase in capital necessary to generate a one-unit increase in output
• B) the incremental cost of employing one more unit of physical or human capital
• C) the increase in output obtained from a one-unit increase in capital, holding other factors constant
• D) the incremental profit associated with selling one more unit of output

Analyze the effects of international transactions on a country's GDP.

Comprehend the basics of the circular-flow diagram in economic modeling.

Analyze economic behavior using basic supply and demand tools in the context of GDP.

Understand the concept and components of Gross Domestic Product (GDP) and its importance as an economic measure.

---

Definitions:

Statistic

A number that describes a characteristic of a sample, derived from the data that the sample contains.

Range

The difference between the highest and lowest values in a dataset.

Variances

Measures of the dispersion or spread of a set of data points around their mean value.

Mean

The arithmetic average of a set of numbers, calculated by adding all the numbers together and then dividing by the count of the numbers.