Author Question: A firm will hire additional units of any input up to the point where a. the marginal productivity ... (Read 64 times)

ahriuashd · **on:** Jul 1, 2018

A firm will hire additional units of any input up to the point where
a. the marginal productivity of the input is maximized.
b. the marginal cost of employing the input is minimized.
c. the expense of employing the last unit is equal to the revenue brought in by the last unit.
d. the revenue brought in by the input is maximized.

Question 2

If a factor of production comes to have more and more alternative uses, its supply curve to any one use
a. remains unchanged.
b. becomes more inelastic.
c. becomes more elastic.
d. may move in any direction.