When a Firm Uses Inputs in a Fixed Proportion, the Cost

question 30

Multiple Choice

When a firm uses inputs in a fixed proportion, the cost minimizing combination of capital and labor

• A)occurs when the firm uses either all workers or all machines.
• B)occurs when the firm uses equal amounts of workers and machines.
• C)occurs where the ratio of the marginal productivities equals the ratio of the input prices.
• D)occurs at the corner point on the isoquant.

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Definitions:

Medium Frame

A body type that falls between a small and large build, often determined by wrist circumference and height.

Desired Weight

The weight an individual aims to achieve or maintain, often through diet and exercise.

Overweight

A condition defined by having a body mass index (BMI) over the normal weight range for one's height, often leading to increased health risks.

Underweight

A term used to describe an individual whose body weight is considered too low to be healthy, often defined by a body mass index (BMI) below 18.5.