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Indicate whether the following statements are true, false or uncertain and briefly explain why. Use formulas or graphs d. A low elasticity of substitution between

Indicate whether the following statements are true, false or uncertain and briefly explain why. Use formulas or graphs

d. A low elasticity of substitution between K and L means that relative prices of capital and labor (w/v) need to change by a small amount to change the ratio of (K/L) by a large amount.

e. In the simple two-input case more labor is hired when the wage rate falls but, how capital usage responds to wage change is indeterminate.

b. To employ a factor of production efficiently a firm will set the value of the marginal product of each factor equal to the relevant price of the factor to the firm.

please use Simple graphs to explain

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