Which of the Following Is True of Fixed-Proportions Production

question 34

Multiple Choice

Which of the following is true of fixed-proportions production?

• A) The inputs used in production have constant marginal products.
• B) An increase in the price of an input will lead the firm to substitute away from it.
• C) The inputs used in production display diminishing marginal returns.
• D) The inputs used in production are perfect complements.
• E) The marginal cost of the inputs used in production is fixed.

---

Definitions:

Family and Medical Leave Act

U.S. federal law that provides employees with unpaid, job-protected leave for specified family and medical reasons.

Industrialized Nations

Countries that have undergone significant industrialization and now have a predominantly tertiary (service) and quaternary (knowledge-based) economy.

Tuition Reimbursement Program

An employer-provided benefit that pays for or reimburses employees for tuition expenses related to furthering their education.

Knowledge

Facts, information, and skills acquired through experience or education.