If a firm sells its product in a monopolistic market, even though the firm operates in a perfectly competitive labor market, the firm will employ workers up to the point where
A. the MRP = the wage rate.
B. the MRP = the output price.
C. TR = TC.
D. the MRP = the marginal physical product of labor.
Answer: A
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For which of the following is there no such thing as a "price?"
a. labor b. land c. entrepreneurship d. none of the above
What would likely happen to the long-run aggregate supply curve if the U.S. federal government decreases marginal tax rates on wages?
A. The LRAS curve would shift leftward. B. The LRAS curve would remain stable while the AD curve would shift leftward. C. The LRAS curve would shift rightward. D. The LRAS curve would remain stable while the AD curve would shift rightward.
Refer to the information provided in Figure 28.1 below to answer the question(s) that follow.
Figure 28.1Refer to Figure 28.1. At a wage rate of $________, there is a shortage of labor equal to ________ million people.
A. 6; 180 B. 15; 150 C. 6; 60 D. 15; 120
Currency debasement occurs when
A. the government requires that a certain form of money must be accepted in settlement of debts. B. the value of money falls as a result of a rapid increase in its supply. C. items are used as money that also have intrinsic value in some other use. D. items are designated as money that are intrinsically worthless.