Which of the following statements is TRUE when comparing monopsony and competitive labor markets?
A) The monopsony hires more workers but pays a lower wage.
B) The monopsony hires more workers at a higher wage.
C) The monopsonist's wage is lower and quantity of labor higher than would prevail under competition.
D) The monopsonist's wage and quantity of labor are lower than would prevail under perfect competition.
D
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A jobless recovery occurs when
A) no jobs are created in an economy after a recession ends. B) employment continues to fall at the beginning of a recovery. C) only low-quality jobs are created in a recovery. D) most of the new jobs created in a recovery are overseas.
If ice cream has an absolute price elasticity of demand that is greater than 1, then the demand for ice cream is
A) elastic. B) inelastic. C) perfectly inelastic. D) unit elastic.
The change in a firm's total cost from producing one more unit of a good or service is the firm's
A) explicit cost of production. B) marginal cost of production. C) average cost of production. D) implicit cost of production.
Which of the following does not serve on the Governing Council of the European Central Bank?
A) governors of the national central banks B) members of the executive board C) finance ministers of each country D) chair of the executive board