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A shadow price is: (i) The increase in value which would be created by having available one extra unit of a limiting resource at its original cost. (ii) The maximum premium worth paying over the original cost to obtain one extra unit of a limiting resource. (iii) The internal opportunity cost of a limiting resource. Are these statements true or false? A. (i) and (ii) are true and (iii) is false. B. (i), (ii) and (iii) are true. C. (i) and (iii) are true and (ii) is false. D. (i), (ii) and (iii) are false. |