As more producers with differing marginal rates of transformation are added, the joint production possibility curve becomes
A) steeper.
B) flatter.
C) more convex to the origin.
D) smoother.
Question 2
The slope of the isocost line tells the firm how much
A) capital must be reduced to keep total cost constant when hiring one more unit of labor.
B) capital must be increased to keep total cost constant when hiring one more unit of labor.
C) more expensive a unit of capital costs relative a unit of labor.
D) the isocost curve will shift outward if the firm wishes to produce more.
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