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  3. Study Set
    Microeconomics Study Set 9
  4. Exam
    Exam 20: Production Cost Theory and Decisions of the Firm
  5. Question
    If the Price of One Factor Increases, Then the Firm
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If the Price of One Factor Increases, Then the Firm

Question 3

Question 3

True/False

If the price of one factor increases, then the firm will find a new least-cost factor combination by shifting its lowest equal-cost line along its same equal-product curve.

Correct Answer:

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