Intel hired a consultant who found that the value of marginal product of Intel's workers decreased as more workers were hired. Suppose Intel is a monopolistically competitive firm. Then the value of marginal product decreases because the
I. workers' marginal product of labor decreased as more workers were hired.
II. marginal revenue of Intel's chips decreased as more chips were sold.
A) I only
B) II only
C) Both I and II
D) Neither I nor II
C
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We assume that the representative consumer's preferences exhibit the properties that
A) they evolve over time and that more is always preferred to less. B) more is preferred to less and that the consumer prefers diversity. C) the consumer likes diversity and that more is sometimes preferred to less. D) more is sometimes preferred to less and that consumption and leisure are both normal goods.
All of the following would shift the consumption-income line except
a. an increase in taxes that causes the marginal propensity to consume to change b. an increase in taxes that changes autonomous spending c. a change in expectations of future income d. a change in wealth e. none of the above
The 3P Program is most closely associated with
a. McDonald’s Corporation b. 3M Company c. BMW Group d. the National Environmental Policy Act of 1969 (NEPA)
Using the aggregate demand and aggregate supply model, a decrease of what curve is by itself consistent with the changes in prices and output that occurred during the onset of the Great Depression?