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If the Marginal Product of Labor Is 45 Units of Output

Question 33

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If the marginal product of labor is 45 units of output and the marginal product of capital is 56 units of output while the wage rate is $20 per worker and the cost of capital is $28 per machine, are these two inputs being used in the least-cost combination and what should be done if they are not?

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The marginal product per dollar spent on...

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