Multiple Choice
Profit maximization implies that firms will want to ________.
A) accumulate capital while the MPK is greater than the real wage
B) accumulate capital while the MPK is greater than the rental price of capital
C) accumulate labor while the MPK is greater than the rental price of capital
D) accumulate labor while the MPK is greater than the real wage
E) none of the above
Correct Answer:
Verified
Correct Answer:
Verified
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