Solved

The Rule for the Optimal Use of Any Input Says

Question 36

Multiple Choice

The rule for the optimal use of any input says that


A) when MRP is less than price, it pays to expand resource use.
B) when MRP is greater than price, it pays to expand resource use.
C) when MRP equals price, resource use should be cut back.
D) resources should be used only if MRP exceeds price.

Correct Answer:

verifed

Verified

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

Related Questions

Q31: Figure 7-12 <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8592/.jpg" alt="Figure 7-12

Q32: Table 7-1 <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8592/.jpg" alt="Table 7-1

Q33: Labor is available at a wage of

Q34: The expansion path of product indifference curves

Q35: Figure 7-7 <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8592/.jpg" alt="Figure 7-7

Q37: John Amaker owns orange groves and hires

Q38: Figure 7-14 <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8592/.jpg" alt="Figure 7-14

Q39: Figure 7-8 <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8592/.jpg" alt="Figure 7-8

Q40: When a firm's AC eventually starts to

Q41: If a firm is using optimal input