If a firm adopts a labor-augmenting piece of technology, it will:
A. increase the marginal product of labor.
B. decrease the marginal product of labor.
C. decrease the marginal supply of labor.
D. increase the marginal supply of labor.
Answer: A
You might also like to view...
Use the following table to answer this question, which provides information on the production of a product that requires one variable input.InputTotal Product00102002060030720408205090060980The marginal product of the 30th input item is
A. 24. B. 120. C. 12. D. 200.
Real interest rates are the
A) interest rates quoted in the market. B) interest rates quoted in the market plus the expected inflation rate. C) nominal interest rates plus the inflation rate. D) interest rates quoted in the market minus the inflation rate.
The MRP curve for a monopolist in the product market is
A) the same as the MRP curve for a perfectly competitive firm in the product market. B) to the left and below the MRP curve for a perfectly competitive firm in the product market. C) to the right and above the MRP curve for a perfectly competitive firm in the product market. D) upward sloping and below the MFC curve for a perfectly competitive firm in the product market.
Firms will continue to enter a competitive industry until: a. the supply curve is vertical
b. the market price falls below average variable cost. c. any economic profits have been competed away. d. all resources are fully employed.