Which of the following is not true about a monopsonist's rule to choose the profit- maximizing wage-employment combination?
a. It is the same as in perfectly competitive labor markets, that is, it hires untilMRP = MLC
b. It results in workers not getting paid their marginal revenue product.
c. It generates a return to monopsony power.
d. It is consistent with the ethics underlying wage determination in a perfectly competitive labor market, that is W = MRP.
e. It equates the marginal cost of labor to its marginal revenue product.
D
You might also like to view...
Economists define investment to include purchases of
A) capital goods and inventories. B) capital goods, equity stocks, and inventories. C) capital goods, equity stocks, and bonds. D) capital goods, such as tools, instruments, and buildings. E) capital goods, household durable goods, and inventories.
Which of the following correctly describes price discrimination?
a. Selling different products to different people for the same price. b. Selling different products to identical people for different prices. c. Selling the same product to different people for different prices. d. Selling the same product to the same person for the same price.
Answer the following statements true (T) or false (F)
1. Over the span of many years, a student and her family invest significant amounts of time and money into that student’s education. It is worth it, because median weekly earnings are about 10% higher for workers who have completed more education. 2. Cooperation between government-funded universities, academies, and the private sector has been shown to delay product innovation and repress whole new industries. 3. All goods and services with positive externalities are also public goods. 4. Government spending and taxes are not the only way to provide public goods. 5. Because nobody owns the ocean, or the creatures that live in it, no one has the ability to protect these resources and ensure they are responsibly harvested.
If the value of nominal GDP of an economy is 1.3 times the value of its real GDP, then the value of the GDP deflator in the economy will be 130
a. True b. False Indicate whether the statement is true or false