The marginal condition for a Pareto-optimal allocation of factors requires that the ________ between labour and capital be equal for all commodities produced by different firms.

Related MCQs

• The necessary condition for allocative efficiency is that each commodity be produced in an amount that makes the marginal benefit to society of the last unit produced equal to the marginal cost to society of that last unit. The satisfaction of this condition in a market economy relies on the assumptions of:
• The marginal condition for a Pareto-optimal or -efficient distribution of commodities among consumers requires that the MRS between ______ be equal for all consumers.
• In Pareto welfare economics, Efficiency in the allocation of factors among commodities is related to
• In Pareto welfare economics, Efficiency of the allocation of factors among firms is related to
• If some allocation of resources is Pareto efficient, then that allocation satisfies:
• When two commodities X and Y must be allocated among consumers, a necessary condition for distributive efficiency is that:
• Under Marginal productivity Theory, reward for labour is determined by
• If marginal product of labour rises because of new technology:
• If capital is available in large proportion and labour is less, then that economy is known as
• In Pareto welfare economics, Efficiency of distribution of commodities among consumers is related to