Using the data in the above table, if the price of an hour of labor is $20 and the price of a unit of capital is $10, then the most economically efficient technique for producing 100 sweaters is
A) A.
B) B.
C) C.
D) D.
A
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The concept of the "best" level of pollution suggests that: a. increased concerns about pollution control shifted the marginal social cost curve to the left
b. the opportunity cost of reducing pollution may sometimes exceed the benefit. c. unregulated markets generally reduce pollution to efficient levels with marginal social cost equal to marginal social benefit. d. none of the above
The kinked demand curve model is based on the assumption that rival firms will match a price cut but ignore a price increase
a. True b. False Indicate whether the statement is true or false
A firm in a perfectly competitive industry is producing 50 units, its profit-maximizing quantity. Industry price is $2, total fixed costs are $25, and total variable costs are $40. The firm's economic profit is
A) $15. B) $30. C) $35. D) $60
When individuals make decisions with some desired outcome in mind, they are engaging in:
a. purposeful behavior b. economically efficient behavior c. chaotic behavior d. random behavior