Solved

A Technological Change That Raises the Value of Marginal Product

Question 17

Multiple Choice

A technological change that raises the value of marginal product of capital ________ the rental rate for capital because the ________.


A) raises; demand curve for capital shifts rightward
B) lowers; supply curve of capital shifts rightward
C) lowers; demand curve for capital shifts leftward
D) raises; supply curve of capital shifts leftward
E) raises; demand curve for capital shifts leftward

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q12: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB7671/.jpg" alt=" -Kevin owns a

Q13: If the demand for a good increases,

Q14: Unions support immigration restrictions because the restrictions

Q15: If the wage rate exceeds the value

Q16: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB7671/.jpg" alt=" -The rule for

Q18: The supply of each particular block of

Q19: Which of the following is NOT a

Q20: When the rental rate for capital falls,

Q21: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB7671/.jpg" alt=" -When hiring labour,

Q22: If both the demand for labour and