If a firm is a price taker in both the input and output markets,its marginal revenue product of labor is given by
A) the price of its output times labor's marginal physical productivity.
B) the marginal value product of labor.
C) the marginal revenue product of capital times the ratio of the wage rate to the rental rate on capital.
D) all of the other answers are correct.
Correct Answer:
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Q1: If the wage rate rises,labor's share in
Q5: If the price of an input falls,a
Q6: Suppose capital and labor must be used
Q9: An input's marginal revenue product is given
Q13: The substitution effect of a change in
Q14: A firm will hire additional units of
Q17: A profit-maximizing firm will never hire that
Q19: If a price-taking firm's production function
Q20: Which of the following conditions would result
Q20: The size of the reduction in quantity
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