The marginal cost of a unit of labor in a perfectly competitive labor market is
A. equal to product price.
B. the market wage rate.
C. equal to MRP.
D. its average MRP.
Answer: B
You might also like to view...
With a rise in the rate of depreciation that ________, the user cost of capital falls, leading to a ________ capital-labor ratio, thus a ________ in investment
A) actually occurs to capital, higher, rise B) actually occurs to capital, lower, rise C) actually occurs to capital, lower, fall D) is used to calculate corporate taxes, higher, rise E) is used to calculate corporate taxes, lower, fall
A price index:
A. measures how much the cost of a market basket has risen or fallen relative to the cost in a base time period. B. summarizes the changes in the cost of living for only rural consumers. C. allows us to see clearly the changes in the cost of a market basket daily. D. is generally only used with consumer goods and services
Explain why the long-run aggregate supply curve is vertical.
What will be an ideal response?
The city of Hope has a labor force of 1000. Twenty people lose their jobs each month and remain unemployed for exactly one month before finding jobs. On January 1, May 1, and September 1 of each year, 50 people lose their jobs for a period of four months before finding new jobs. What is the unemployment rate in any given month?
A. 2% B. 7% C. 3% D. 5%