For a firm that uses land, labor and capital as inputs, how should the inputs be utilized in order to minimize total costs?
What will be an ideal response?
Given a particular rate of production, the firm can minimize total costs by hiring each of the three inputs up to the point at which the marginal physical product per last dollar spent on each input is equalized across the three inputs.
Economics
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Liquidity increases as we move from the M1 to the M2 definition of the money supply
Indicate whether the statement is true or false
Economics
The measure of the money supply M1 includes all of the following except
A. Currency in circulation. B. Balances in transactions accounts. C. Travelers checks. D. Balances in savings accounts.
Economics