Question 1
The slope of the ________ is -
MPL/
MPK.
◦ isoquant
◦ total utility curve
◦ isocost line
◦ marginal utility curve
Question 2
In the short run
◦ existing firms do not face limits imposed by a fixed input.
◦ all firms have costs that they must bear regardless of their output.
◦ new firms can enter an industry.
◦ existing firms can exit an industry.