Problem
A profit-maximizing firm expands its purchase of any input up to the point where diminishing returns have reduced the marginal revenue product so that it equals the input price. Why does it not pay the firm to "quit while it is ahead," buying so small a quantity of the input that the input's MRP remains greater than its price?
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.