For a monopsonist in the labor market, the marginal resource cost of labor is:
A. Higher than the wage rate or price of labor
B. Less than the wage rate or price of labor
C. Equal to the wage rate or price of labor
D. Inversely related to the wage rate or price of labor
A. Higher than the wage rate or price of labor
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Refer to Figure 15-2. To maximize profit, the firm will produce at output level
A) Q1. B) Q2. C) Q3. D) Q4.
In the long run, we typically assume that ________
A) capital, labor, and technology are independent of the level of inflation B) the natural rate of unemployment is independent of the level of inflation C) aggregate supply is fixed and independent of the level of inflation D) all of the above E) none of the above
The retained earnings that corporations often use to finance R&D are also known as:
A. venture capital. B. undistributed profits. C. dividends. D. mutual funds.
A contractionary fiscal policy
I. decreases a government budget deficit or increases a government budget surplus. II. includes tax cuts. III. may include discretionary cuts in transfer payments. A) I, II, and III B) I and II only C) I and III only D) II and III only