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Business, 26.06.2019 23:00 trevinojazzy8625
Aprofit-maximizing firm will use more of a factor of production when: the extra cost of using an additional factor unit is less than the marginal revenue product of the additional factor unit. the extra cost of using an additional factor unit is less than the marginal physical product of the additional factor unit. the marginal physical product of the additional factor unit is greater than the marginal revenue product (mrp) of the additional factor unit. the marginal physical product of the additional factor unit is less than the marginal revenue product of the additional factor unit. apply your answer as an argument to the labor market—when the wage rate is below the mrp, the firm should hire workers. therefore, what is the relationship between a perfectly competitive firm's mrp curve for an input and that firm's demand curve for that input
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