Question

    The law that determines best use of limited resources among alternative use is known as

    A Law of equi marginal return Correct Answer Incorrect Answer
    B Law of supply Correct Answer Incorrect Answer
    C Law of demand Correct Answer Incorrect Answer
    D Law of variable proportion Correct Answer Incorrect Answer

    Solution

    The law of equimarginal return states that  profit from a limited amount of variable input is maximized  when that input is used in such as way that marginal return from that input is equal in all the enterprises.

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