If the wage rate doesn't change but a profit-maximizing competitive firm hires fewer workers, we know that
A) the price of the product increased.
B) technical change occurred that increased labor productivity, reducing the firm's demand for labor.
C) demand for the product fell or there has been a reduction in labor productivity.
D) marginal factor cost increased.
Answer: C
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Apply what you have learned about development and development theories so speculate on the following thought experiment: What if anything might be different about today's international economic order if the Spanish had colonized North America and
the English had colonized South America?
The dominance of banks in Germany comes at the expense of __________ markets there
A) securities B) government bond C) consumer borrowing D) foreign exchange
Why is it difficult for economists to predict the price and output policy that will emerge in oligopolistic markets?
a. Economists cannot determine if barriers to entry exist in a market. b. Economists cannot predict the reactions that firms will have to the actions and decisions of other firms. c. The government prevents economists from acquiring the information that would lead to good predictions. d. Firms have a set price and output policy, but the policy is concealed to discourage competition.
Demand for a "once-in-a-lifetime event" is likely to be
A. perfectly elastic because life is short. B. more elastic than a reoccurring one. C. exactly as elastic as a reoccurring one. D. less elastic than a reoccurring one.