Suppose a Firm Employs Two Kinds of Inputs,capital at $100

question 73

Multiple Choice

Suppose a firm employs two kinds of inputs,capital at $100 per unit,and labour at $25 per unit.If the marginal product of capital is 50,then the firm should ________ in order to minimize its production costs.

• A)employ more capital and less labour
• B)employ more labour and less capital
• C)employ more labour and more capital
• D)not change its current factor use
• E)There is insufficient information to make a recommendation.

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Definitions:

Self-Esteem

An individual's subjective evaluation of their own worth, encompassing beliefs about oneself as well as emotional states.

Death Anxiety

A psychological condition where an individual harbors fears or apprehensions about the prospect of death or the process of dying.

Collective Action

A collaborative effort by a group of individuals or organizations aimed at achieving a common goal.

Status Quo

Refers to the existing state of affairs or the current condition or situation.