Which of the following is the correct statement of the marginal rule for optimal input proportions? The input proportion is optimal when
A. PA= PB.
B. MPPA= MPPB.
C. PA×MPPA= PB×MPPB.
D. PA/PB= MPPA/MPPB.
Answer: D
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Refer to Table 11-5. Suzette's Fancy Packaging subcontracts with Sunshineland Pecans to box dried fruit and nuts for Suzette's mail order business. Suzette rents space for her factory for $400 a week in a nearby strip mall
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Indicate whether the statement is true or false
The longer the time period considered, the greater the mobility within an income distribution
a. True b. False Indicate whether the statement is true or false
Use the concept of economic rent to explain how rent controls could have an effect quite opposite to the intention