Which of the following is the best example of two inputs that would exhibit a constant marginal rate of technical substitution?
A) trucks and truck drivers
B) natural gas and oil
C) personal computers and clerical workers
D) company-employed computer programmers and temporary supplemental computer programmers
Question 2
Your U.S.-based company is selling parts to a company in Chile and the company will pay you US10,000 in 3 months. The current exchange rate is 490 pesos/US. If the exchange rate at the time of payment is 510 pesos/US
A) you earn additional profit.
B) the Chilean company will end up paying more for the goods.
C) the Chilean company will end up paying less for the goods.
D) you earn less profit.
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