If the marginal product of labor is 100 and the price of labor istutor4helpyou
If the marginal product of labor is 100 and the price of labor is 10, while the marginal product of capital is 200 and the price of capital is $30, then what should the firm?
The firm should use relatively more capital
The firm should use relatively more labor
The firm should not make any changes – they are currently efficient
Using the Equimarginal Criterion, we can’t determine the firm’s efficiency level
- 7 years ago
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