The Firm Will Rent More and More Land Until the Rent

question 180

Multiple Choice

The firm will rent more and more land until the rent and the ____ of the last unit of land hired are equal.

• A)marginal physical product
• B)MRP
• C)output

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Definitions:

Covariance

A measure indicating the extent to which two variables change together, revealing whether an increase in one variable tends to be accompanied by an increase (positive covariance) or decrease (negative covariance) in the other.

Distribution

In statistics, a distribution is a function that shows the possible values for a variable and how often they occur.

Correlation Coefficient

A numerical index that gauges the intensity and orientation of the linkage between a pair of variables.

Scatter Diagram

A graphical representation that displays the relationship between two quantitative variables using Cartesian coordinates to display values for typically a set of data.