21) Suppose that a firm employees labor and capital to produce a good. If the price of capital increases, a) capital employed will increase and labor employed will decrease b) capital employed will decrease and labor employed will increase c) capital employed will not change d) labor employed will not change

21) Suppose that a firm employees labor and capital to produce a good. If the price of capital increases, a) capital employed will increase and labor employed will decrease b) capital employed will decrease and labor employed will increase c) capital employed will not change d) labor employed will not change

Principles of Microeconomics

7th Edition

ISBN:9781305156050

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter18: The Markets For The Factor Of Production

Section: Chapter Questions

Problem 6CQQ

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