which of the following statements is true? 1. if the marginal product of labour is higher than the marginal product of capital, then the firm uses more labour than capital in the short run. 2.if the wage rate for labour is lower than the cost of capital, then the firm uses more labour than capital in the short run. 3. if for a given amount of initial capital, the production functions means more labour is needed than capital, then the firm uses more labour than capital in the short run. 4. if for a given amount of initial labour, the production function means that more labour is needed than capital, then the firm uses more labour than capital in the short run.
which of the following statements is true? 1. if the marginal product of labour is higher than the marginal product of capital, then the firm uses more labour than capital in the short run. 2.if the wage rate for labour is lower than the cost of capital, then the firm uses more labour than capital in the short run. 3. if for a given amount of initial capital, the production functions means more labour is needed than capital, then the firm uses more labour than capital in the short run. 4. if for a given amount of initial labour, the production function means that more labour is needed than capital, then the firm uses more labour than capital in the short run.
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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which of the following statements is true?
1. if the marginal product of labour is higher than the marginal product of capital, then the firm uses more labour than capital in the short run.
2.if the wage rate for labour is lower than the cost of capital, then the firm uses more labour than capital in the short run.
3. if for a given amount of initial capital, the production functions means more labour is needed than capital, then the firm uses more labour than capital in the short run.
4. if for a given amount of initial labour, the production function means that more labour is needed than capital, then the firm uses more labour than capital in the short run.
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