If the economy uses inputs efficiently, then (pls select all that applies) Group of answer choices a) MRTS = 1. b) MRTS must be equal to the slope of a firm’s isoquant curve. c) the ratio of input marginal products must be equal to the ratio of input prices. d) the quantity of one output cannot be increased without decreasing the quantity of the other. e) every firm’s MRTS is equal to every consumer’s MRS. f) every firm’s MRTS is equal to the ratio of input prices. g) MRTS = MRT. h) outputs are on PP
If the economy uses inputs efficiently, then (pls select all that applies) Group of answer choices a) MRTS = 1. b) MRTS must be equal to the slope of a firm’s isoquant curve. c) the ratio of input marginal products must be equal to the ratio of input prices. d) the quantity of one output cannot be increased without decreasing the quantity of the other. e) every firm’s MRTS is equal to every consumer’s MRS. f) every firm’s MRTS is equal to the ratio of input prices. g) MRTS = MRT. h) outputs are on PP
Chapter10: Cost Functions
Section: Chapter Questions
Problem 10.12P
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Question
If the economy uses inputs efficiently, then
(pls select all that applies)
Group of answer choices
a) MRTS = 1.
b) MRTS must be equal to the slope of a firm’s isoquant curve.
c) the ratio of input marginal products must be equal to the ratio of input prices.
d) the quantity of one output cannot be increased without decreasing the quantity of the other.
e) every firm’s MRTS is equal to every consumer’s MRS.
f) every firm’s MRTS is equal to the ratio of input prices.
g) MRTS = MRT.
h) outputs are on PP
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