Economics · Marginal Efficiency of Capital
In macroeconomic theory, the term 'Marginal Efficiency of Capital' (MEC) refers to the:
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1Annual rate of physical and economic depreciation of capital assets
- 2Expected rate of return over the supply price of a new capital asset✓
- 3Total historical cost of producing new capital goods
- 4Average physical productivity of labor combined with capital assets
Correct answer
Expected rate of return over the supply price of a new capital asset
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