Author Question: If the price elasticity of supply is zero, the supply curve is a horizontal line parallel to the ... (Read 43 times)

leo leo · **on:** Jun 30, 2018

If the price elasticity of supply is zero, the supply curve is a horizontal line parallel to the quantity axis.
a. True
b. False
Indicate whether the statement is true or false

Question 2

The marginal product of capital:
a. is equal to the increase in capital necessary to generate a one-unit increase in output.
b. is equal to the increase in output obtained from a one-unit increase in capital, holding other factors constant.
c. is equal to the incremental profit associated with selling one more unit of output.
d. is equal to the incremental cost of employing one more unit of physical or human capital.