a) Say a firm that sells its product at a price of $80. If the marginal product of the last unit of capital used was 25, and the constant rental rate per unit of capital is $2,000, then this firm should a) decrease its output. b) decrease the amount of capital. c)continue to use same units of capital. d) acquire more capital. b) Say a firm that sells its product at a price of $20 is using 20 units of labor. If the marginal product of the last unit of labor hired was 5, and the firm pays each worker a wage of $40, then this firm should Multiple Choice a) decrease its output. b) keep the same number of workers. c) hire more workers. d) decrease the number of workers. Which statement is true? Multiple Choice a) The price theory we studied always considers efficient output to be the place where marginal cost equals marginal benefit, even if the good is a pure public good. b) For efficiency to be achieved in the production of a public good everyone should be taxed an amount equal to the value they place on the last unit of the good provided times the quantity of public good provided. c) All answer choices are correct. d) A pure private good can never be jointly consumed