QUESTION aying a firm will continue investing up to the point at which xpected rate of return is equal to the interest rate. O the marginal product of capital is equal to the marginal product of labor O the marginal revenue product of capital is equal to the price of capital O the interest rate is equal to the inflation rate O the return on capital is equal to depreciation is equivalent to saying that a firm will keep investing in new capital up to the point where

QUESTION aying a firm will continue investing up to the point at which xpected rate of return is equal to the interest rate. O the marginal product of capital is equal to the marginal product of labor O the marginal revenue product of capital is equal to the price of capital O the interest rate is equal to the inflation rate O the return on capital is equal to depreciation is equivalent to saying that a firm will keep investing in new capital up to the point where

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 8PA

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