Wages are comparatively low in markets where demand for labor is low and supply is high
a. True
b. False
Indicate whether the statement is true or false
True
You might also like to view...
Site value taxation _____
a. taxes improvements to land b. taxes the assessed value of land c. taxes the locational value of land d. a and c
Suppose a monopoly firm has an annual demand function of Qd = 20,000 - 250P, annual variable costs of VC = 16Q + 0.002Q2 and marginal cost of MC = 16 + 0.004Q, where Q is the annual quantity of output. In addition, the firm has an avoidable fixed cost of $25,000 per year. If this firm maximizes its profit, what is the value of aggregate surplus?
A. $247,250 B. $272,250 C. $242,000 D. $217,000
The movement of the budget line from BB to bb in the above figure suggests that income has:
A) increased and the price of X has decreased. B) fallen and the price of Y has increased. C) fallen and the price of X has decreased. D) decreased but there have been no price changes.
The profitability of the second mover in a Stackelberg model is
A) guaranteed to be negative. B) smaller than that of the first mover. C) greater than that of the first mover. D) greater than the Cournot profits.