Trade results from:

A. comparative advantage.
B. absolute advantage.
C. self-sufficiency.
D. diminishing returns.

Answer: A

Economics

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A firm estimates its long-run production function to beQ = -0.0075K3L3 + 12K2L2Suppose the firm employs 12 units of capital. At ________ units of labor, marginal product of labor begins to diminish.

A. 32.21 B. 44.44 C. 76.66 D. 82.27 E. 66.67

Economics