The marginal product of labor
A. is larger when the labor supply is relatively larger.
B. is measured by the slope of the production function relating capital to employment.
C. is smaller when the labor supply is relatively smaller.
D. decreases as the number of workers already employed increases.
Answer: D
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Technological progress that increases the expected profit shifts the demand for loanable funds curve
A) leftward and reduces the real interest rate. B) rightward and increases the real interest rate. C) rightward and reduces the real interest rate. D) leftward and increases the real interest rate.
Fresno County, California is the largest agricultural producing county in the country and almonds are an important crop with more than 99,000 acres harvested. Each acre produces about a ton of almonds and sold at a price of $4300 a ton
The Sagardia Brothers grew 600 acres of almonds. What would happen if the Sagardia Brothers priced their almonds at $4500 a ton? A) Profits will be higher than when they sell them at the lower price. B) The quantity sold will be higher. C) They will not sell any almonds. D) They will sell fewer almonds, but profits will be higher.
Producer surplus refers to
a. the difference between the market price for a good and the minimum price the producer would accept b. the difference between the market price for a good and the maximum price a consumer would be willing to pay c. the excess supply a firm produces for the market d. the profit a producers receives for a good e. the difference between consumer surplus and the price of the good
Suppose the minimum average total cost (ATC) of a firm competing in a competitive price-taker market was $1.00 per unit and that the firm's minimum average variable cost (AVC) was $.80 per unit. If the market price was $.75 per unit, a profit-seeking firm would
a. shut down immediately. b. produce where MR = MC in the short run. c. shut down in the long run but remain in business in the short run. d. do both b and c.