Multiple Choice
Firms have an incentive to substitute labor for capital as the
A) price of capital increases.
B) price of capital decreases.
C) price of labor increases.
D) marginal product of labor decreases.
Correct Answer:

Verified
Correct Answer:
Verified
Related Questions
Q48: Refer to the information provided in Figure
Q49: Refer to the information provided in Figure
Q50: Refer to Scenario 7.2 below to answer
Q51: Refer to the information provided in Figure
Q52: The marginal products of the first, second,
Q54: Refer to Scenario 7.3 below to answer
Q55: Refer to the information provided in Figure
Q56: The point of tangency between an isocost
Q57: If diminishing marginal returns have already set
Q58: If diminishing marginal returns have already set