The marginal rate of technical substitution is A) the rate at ...

[tingc95]

The marginal rate of technical substitution is
 
  A) the rate at which a firm is able to institute positive technological changes to its production process.
  B) the rate at which a firm is able to increase its output by replacing labor with technology.
  C) the rate at which a firm is able to substitute one input for another, while keeping the level of output constant.
  D) the rate at which a firm is able to substitute one input for another, while keeping total cost constant.

Question 2

Which of the following statements is true?
 
  A) Consumers will buy a product only if it meets a need not met by competing products.
  B) Consumers will buy a product only if its price is below that of its competitors.
  C) Sheer chance often plays a significant role in the success or failure of a business.
  D) Input prices are one of the success factors that firms can control.

[dmurph1496]

Answer to Question 1

C

Answer to Question 2

C