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13. At its current employment level of labor and capital, a firm observes the following. Marginal product of labor = 30 units, Marginal product of capital 60 units, Price of labor $3 per unit and Price of capital = $6 per unit. This fir %3D %3! %3D %3D should * Labor Capital a. Increase Increase b. Increase Decrease c. Decrease Increase d. Decrease Decrease No change No change е. A O c

13. At its current employment level of labor and capital, a firm observes the following. Marginal product of labor = 30 units, Marginal product of capital 60 units, Price of labor $3 per unit and Price of capital = $6 per unit. This fir %3D %3! %3D %3D should * Labor Capital a. Increase Increase b. Increase Decrease c. Decrease Increase d. Decrease Decrease No change No change е. A O c

ENGR.ECONOMIC ANALYSIS
ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
Publisher:NEWNAN
Chapter1: Making Economics Decisions
Section: Chapter Questions
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At its current employment level of labor and capital, a firm observes the following. Marginal product of labor = 30 units, Marginal product of capital = 60 units, Price of labor = $3 per unit and Price of capital = $6 per unit. This firm should
e, total resource cost divided by output 13. At its current employment level of labor and capital, a firm observes the following. Marginal product of labor = 30 units, Marginal product of capital = 60 units, Price of labor = $3 per unit and Price of capital = $6 per unit. This firm 0/5 should * Labor Capital a. Increase Increase b. Increase Decrease с. Decrease Increase d. Decrease Decrease No change No change е. A 14. Relative to a competitive labor market, a monopsony* 7/7 a. Hires more workers but pays a lower wage
Transcribed Image Text:e, total resource cost divided by output 13. At its current employment level of labor and capital, a firm observes the following. Marginal product of labor = 30 units, Marginal product of capital = 60 units, Price of labor = $3 per unit and Price of capital = $6 per unit. This firm 0/5 should * Labor Capital a. Increase Increase b. Increase Decrease с. Decrease Increase d. Decrease Decrease No change No change е. A 14. Relative to a competitive labor market, a monopsony* 7/7 a. Hires more workers but pays a lower wage
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