« previous next »

Author Question: The market price of physical capital is 10 and the market wage rate is 5. If a firm is optimally ... (Read 85 times)

mckennatimberlake

  • Hero Member
  • *****
  • Posts: 559
on: Jun 29, 2018
The market price of physical capital is 10 and the market wage rate is 5. If a firm is optimally hiring an additional unit of physical capital, the value of the marginal product of physical capital is:
 
  A) 1.
  B) 2.
  C) 10.
  D) 50.

Question 2

What is a tradeoff? Give an example.
 
  What will be an ideal response?


14vl19

  • Sr. Member
  • ****
  • Posts: 310
Reply #1 on: Jun 29, 2018
Answer to Question 1

C

Answer to Question 2

A tradeoff occurs when one thing must be given up to get another. Tradeoffs are pervasive; at the personal level, students tradeoff time spent studying for time they otherwise could have spent socializing.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

As the western states of America were settled, pioneers often had to drink rancid water from ponds and other sources. This often resulted in chronic diarrhea, causing many cases of dehydration and death that could have been avoided if clean water had been available.

Did you know?

Green tea is able to stop the scent of garlic or onion from causing bad breath.

Did you know?

Eating food that has been cooked with poppy seeds may cause you to fail a drug screening test, because the seeds contain enough opiate alkaloids to register as a positive.

Did you know?

Nearly 31 million adults in America have a total cholesterol level that is more than 240 mg per dL.

Did you know?

Blastomycosis is often misdiagnosed, resulting in tragic outcomes. It is caused by a fungus living in moist soil, in wooded areas of the United States and Canada. If inhaled, the fungus can cause mild breathing problems that may worsen and cause serious illness and even death.

The rate of evolution in short­ and long­lived plants The rate of evolution in short­ and long­lived plants
Natural Capital Natural Capital
Temperature Changes on Heart Rate Temperature Changes on Heart Rate
Most drugs exhibit first-order elimination, in which the rate of drug elimination is equivalent to ... Most drugs exhibit first-order elimination, in which the rate of drug elimination is equivalent to ...
Capital’s Share of Income in a Cross-Section of Countries Capital’s Share of Income in a Cross-Section of Countries
Compute the rate of discount allowed on a rotor-tiller that lists for $341.00 and is sold for ... Compute the rate of discount allowed on a rotor-tiller that lists for $341.00 and is sold for ...
Video: Sickle Cell Anemia

For a complete list of videos, visit our video library