Question 1
If the
MRP of land is less than its price, a firm should
◦ use more land.
◦ use less land.
◦ try to decrease the productivity of land.
◦ increase the price it is willing to pay for land.
Question 2
If land becomes more valuable in residential use than in commercial use
◦ the supply of land available for commercial use should decrease and the supply of land for residential use should increase.
◦ there can be no change in the allocation of land because land is fixed in supply.
◦ there will be no change in the allocation of land, as there is no responsiveness to price changes by suppliers of land.
◦ the supply of land for commercial use will become perfectly elastic, and the supply of land for residential use will become perfectly inelastic.
Sea and Land Breezes
Offset Method Plot of Land
Plot of Land (Modified Offset Method) - Boxed
Plot of Land (Modified Offset Method) - Offset lines
Generalized life cycle for land plants