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Business, 20.11.2019 06:31 jennashowbiz

Suppose a chair manufacturer finds that the marginal rate of technical substitution (mrts) of capital for labor in her production process is substantially less than the ratio of the wage rate for assembly-line labor (w) to the rental rate on machinery (r). how should she alter her use of labor and capital to minimize the cost of production?

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Suppose a chair manufacturer finds that the marginal rate of technical substitution (mrts) of capita...
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