The Marginal Rate of Technical Substitution of Labour for Capital

Multiple Choice

The marginal rate of technical substitution of labour for capital measures:

A) The amount by which capital input can be reduced while holding quantity produced constant when one more unit of labour is used.
B) The amount by which labour input can be reduced while holding quantity produced constant when one more unit of capital is used.
C) The ratio of total labour to total capital.
D) The ratio of total capital to total labour.