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  3. Study Set
    Economics Study Set 10
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    Exam 26: Factor Markets With Emphasis on the Labor Market
  5. Question
    A Firm That Is Perfectly Competitive Will Continue to Hire
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A Firm That Is Perfectly Competitive Will Continue to Hire

Question 3

Question 3

Multiple Choice

A firm that is perfectly competitive will continue to hire factor units as long as


A) MRP < MFC.
B) MRP > MFC.
C) VMP < MFC.
D) MC > MR.

Correct Answer:

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