According to the Ricardian theory of rent, the marginal land is one with
No Rent
Low Rent
High Rent
None of these
If a factor has many close substitutes, its elasticity of demand will be
Zero
High
Low
Constant
The theory of factor pricing is popularly known as
Theory of Distribution
Theory of Consumption
Theory of Supply
Theory of demand
Marginal revenue product curve is
An excess demand curve
A supply curve for a factor
A demand curve for a factor
Decrease demand curve
A firm under perfect competition is in equilibrium when
MC = MR
MC > MR
MR< MC
MC - MR
The demand for a factor is
A direct demand
A derived demand
An excess demand
Decreasing demand
According to modern theory rent arises when
Actual earning exceeds transfer earnings
Actual earning equal transfer earnings
Actual earning falls short of transfer earning
Actual earning decreases transfer earnings
Under perfect competition, a firm will employ more and more units of a factor so long as
HC = AC
MR is greater than MC
MC + MR
The demand curve for a factor is
A horizontal straight line
A vertical straight line
Negatively sloped line
Positively slopped line
The supply of labour in an economy at very high real wages
Increases
Decreases
Remains Constant
No change
