An increase in the price of any given good will necessarily cause a change in the profit-maximizing employment mix for its production.

Name: An increase in the price of any given good will necessarily cause a change in the profit-maximizing employment mix for its production.
Brand: Quizplus
Rating: 4.8 (39 reviews)

Question

Quizplus · Accepted Answer

An increase in the price of a good does not necessarily change the profit-maximizing employment mix, as it depends on other factors like production technology, input costs, and the elasticity of demand for labor.

An Increase in the Price of Any Given Good Will