A firm uses three factors of production. The table gives the marginal product of each factor together with its cost at the present output level. land: MP 4, MC per unit 4; labour: MP 2, MC per unit 6; capital: MP 9, MC per unit 3. Which change in the use of factors would be most likely to move the firm closer to the least-cost combination of inputs for its current output level?
- Aland: no change; labour: more; capital: more
- Bland: more; labour: less; capital: more
- Cland: no change; labour: more; capital: no change
- Dland: more; labour: more; capital: no change