If the marginal resource cost of the tenth worker hired by a firm is $4 and the wage of the tenth worker is $3, the firm will hire ten workers if the marginal revenue product of the tenth worker is
a. $3
b. less than $3
c. greater than or equal to $3
d. greater than or equal to $4
e. less than $4
D
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If a worker is indifferent between a job with a wage of $12 per hour and a job with a wage of $15 per hour, then the
a. higher-paying job enjoys a compensating wage differential of $3 per hour b. higher-paying job enjoys a compensating wage differential of $15 per hour c. lower-paying job is intrinsically more attractive than the higher-paying job d. lower-paying job is just as attractive as the higher-paying job e. worker's preferences are not rational
Price discounts to selected buyers with the intent of driving out smaller competitors is
a. widespread in all industries b. common in the retailing industry only c. illegal under the Robinson-Patman Act d. allowed if the four-firm concentration ratio is less than 50 percent e. beneficial to consumers in the long run
If the dollar appreciates while foreign income rises:
A. the U.S. AD curve would likely remain unchanged. B. the U.S. AD curve would likely shift to the left. C. what happens to the U.S. AD curve is unclear. D. the U.S. AD curve would likely shift to the right.
If the government taxes a coal company by an amount equal to the damages of each marginal ton of coal, then the coal company's marginal social cost curve is the same as the marginal ________ curve.
A. cost B. damage cost C. benefit D. private cost