A firm's marginal product of labor is 5 and its marginal product of capital is 4. If the firm adds one unit of labor, but does not want its output quantity to change, the firm should: use five fewer units of capital. add 1.25 units of capital. use 0.8 fewer units of capital. use 1.25 fewer units of capital.

A firm's marginal product of labor is 5 and its marginal product of capital is 4. If the firm adds one unit of labor, but does not want its output quantity to change, the firm should: use five fewer units of capital. add 1.25 units of capital. use 0.8 fewer units of capital. use 1.25 fewer units of capital.

Microeconomics A Contemporary Intro

10th Edition

ISBN:9781285635101

Author:MCEACHERN

Publisher:MCEACHERN

Chapter7: Production And Cost In The Firm

Section7.A: Appendix: A Closer Look At Production And Cost

Problem 1AQ

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