Question: Use the following information to answer the questions below: Computers: Soybeans: Total revenue = 120 Total revenue = 120 Payments to labor = 60 Payments

Use the following information to answer the questions below: Computers: Soybeans: Total revenue = 120 Total revenue = 120 Payments to labor = 60 Payments to labor = 80 Payments to capital = 60 Payments to land = 40 Holding the price of computers constant, suppose the price of soybeans rises 10% and that the wage rate increases 5%. a. What is the effect of these changes on the rental rate of capital?

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