The production function is the
a. increase in the amount of output from an additional unit of labor.
b. marginal product of an input times the price of output.
c. relationship between the quantity of inputs and output.
d. shift in labor demand caused by a change in the price of output.
c
You might also like to view...
Endogenous variables
A) are correlated with the error term. B) always appear on the LHS of regression functions. C) cannot be regressors. D) are uncorrelated with the error term.
Though many assets can be used as a store of value, money is a particularly attractive method to store value because:
A. it increases in value as prices rise. B. its purchasing power does not decline when prices rise. C. it is the most liquid of all assets. D. it is backed by gold.
Cartel agreements are more likely to break down when
A) there are few variations in market demand. B) new firms enter the market. C) participating firms earn huge profits. D) none of the above.
The Coase theorem states that
A. under certain conditions, private parties can arrive at the efficient solution without government involvement. B. the private sector will fail to produce the efficient amount of a public good because of the free-rider problem. C. public goods should be produced up to the point where the additional benefit received by society equals the additional cost of producing the good. D. if there are external costs in production, the government must intervene in the market to assure that the efficient level of output is produced.