Multiple Choice
If skilled labor is three times the cost of unskilled labor, a profit-maximizing firm will vary the quantity of each type of labor until the
A) marginal product of each is the same.
B) amount of unskilled labor used is three times the quantity of skilled labor used.
C) amount of unskilled labor used is one-third the quantity of skilled labor used.
D) marginal product of unskilled labor is one-third that of skilled labor.
Correct Answer:

Verified
Correct Answer:
Verified
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