Choose the Correct Statement

question 69

Multiple Choice

Choose the correct statement.

• A)The quantity of land demanded cannot be changed by people's decisions.
• B)The supply of each particular block of land is perfectly inelastic.
• C)The lower the rental rate,other things remaining the same,the smaller is the quantity of land demanded.
• D)Profit-maximizing firms rent the quantity of land at which the value of marginal product of land is equal to the quantity of land demanded.
• E)The supply of land is based on the value of marginal product of land.

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Definitions:

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