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How Demands For Factors Are Interdependent?

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    Factors of production are interdependent because a greater investment on one factor leads to a lesser requirement for investing in the other. If a firm is, for instance, labor intensive, it would require a long and proper process for hiring employees; but, on the other hand, if it is capital intensive, it would need less labor and its employees would be replaceable.
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    Go_on  

    answered 1 year ago

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