A Microeconomic Analysis Shows That in a Competitive Economy in Which

Multiple Choice

A microeconomic analysis shows that in a competitive economy in which labor is homogenous and mobile, the ratio of the prices of the products in equilibrium is inversely proportional to:

A) the ratio of the capital used in production.
B) the ratio of the marginal products of labor.
C) the geographical region of the country in which the factory is located.
D) the strength of bargaining power of the workers.