At the XYZ Co, a unit of capital costs 3 times as much as a unit of labor. If the isoquants are convex, and the firm does not change its input mix in the long run, we can conclude that
A) MPK = 3 ? MPL.
B) the firm will not hire any capital.
C) the firm will hire 3 times as much labor as capital.
D) the firm will hire 3 times as much capital as labor.
A
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If the price elasticity of demand is 1.3, demand is:
A. upward sloping. B. inelastic. C. unit elastic. D. elastic.
An oligopoly is a market in which
a. there are only a few sellers, each offering a product similar or identical to the products offered by other firms in the market. b. firms are price takers. c. the actions of one seller in the market have no impact on the other sellers' profits. d. there are many price-taking firms, each offering a product similar or identical to the products offered by other firms in the market.
A per-unit tax on coffee paid by the seller causes the:
A. demand for coffee curve to shift upward by the amount of the per-unit tax. B. demand for coffee curve to shift downward by the amount of the per-unit tax. C. supply of coffee curve to shift downward by the amount of the per-unit tax. D. supply of coffee curve to shift upward by the amount of the per-unit tax.
An inclusive union
A. is most concerned with increasing the demand for workers in an industry. B. organizes a wide range of workers in an industry to gain bargaining power. C. restricts supply of labor through licensing requirements. D. is most effective in a purely competitive industry.