Assuming a Firm Uses Capital and Labor to Produce Output

question 46

Multiple Choice

Assuming a firm uses capital and labor to produce output, which of the following is not always a true statement?

• A)Assuming the marginal products of labor and capital are greater than zero, doubling the inputs of capital and labor will lead to greater output.
• B)Assuming the marginal products of labor and capital are less than zero, doubling the inputs of capital and labor will lead to less output.
• C)Assuming the marginal products of labor and capital are greater than zero, doubling the inputs of capital and labor will lead to double the output.
• D)Assuming the marginal products of labor and capital are greater than zero, doubling the input of capital and keeping the input of labor constant will lead to greater output.

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Definitions:

Workplace Stress

Psychological and physical strain or tension generated by aspects of the work environment.

Behavioral Problems

Actions or patterns of behavior that are disruptive or harmful to oneself or others, often necessitating intervention or support.

Individual Distress

Personal suffering or strain experienced by an individual, which can manifest as emotional, physical, or psychological discomfort.

Psychoanalytic Approach

A psychological perspective focusing on unconscious mental processes and childhood experiences in shaping personalities and behaviors.