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Every factor of production gets rewarded equal to it
Cost
Marginal product
Price
increasing return
Every factor of production gets rewarded equal to its Marginal product. No single firm can influence the market price of a factor of production. Therefore, in order to get the equilibrium position, a firm will employ labourers up to a point where their respective marginal revenue productivity is equal to their wage rate.
By: honey kaundal ProfileResourcesReport error
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