When the isocost line is tangent to the isoquant, then
A) MRTS = -w/r.
B) the firm is producing that level of output at minimum cost.
C) the last dollar spent on capital yields as much extra output as the last dollar spent on labor.
D) All of the above.
D
Economics
You might also like to view...
In the determination of economic growth, political freedom
A) is equally as important as economic freedom. B) contributes little to job growth. C) appears to be less important than economic freedom. D) is more important than economic freedom.
Economics
Which of the following would most likely NOT be taught in a microeconomics course?
A) changes in prices of automobiles B) the effects of a gas tax on gas purchases C) the effect of an increase in wheat prices on farmers' behavior D) changes in unemployment across the nation
Economics