The Marginal Productivity Principle Says That a Profit-Maximizing Firm Should

Multiple Choice

The marginal productivity principle says that a profit-maximizing firm should

A) hire capital until its marginal product is zero.
B) hire labor until another worker costs more to hire than he can earn for the firm.
C) hire the quantities of capital and of labor at which their marginal products are equal.
D) hire capital until its marginal product is negative.