Firms hire more labor as long as
A) the real wage rate is greater than the additional output the labor produces.
B) extra labor will produce more output.
C) the real wage rate is less than the additional output the labor produces.
D) the nominal wage rate exceeds the real wage rate.
E) the nominal wage rate is less than the real wage rate.
C
You might also like to view...
Theory is to data as
A) economics is to the price of iPads. B) economics is to art. C) economics is to sociology. D) accounting is to economics.
Prospect theory can explain why
A) people tend to gamble on long odds with small expected utility. B) people tend to sell their losing stocks and keep their winning stocks. C) people should only sell their losing stocks. D) people should never play the lottery.
If an economy's population grows at 3 percent and real GDP grows at 2 percent, then:
a. per capita real GDP is declining. b. the economy's standard of living is increasing. c. per capita real GDP is negative. d. per capita real GDP is growing. e. the economy is experiencing unemployment.
The existence of a natural monopoly stems from the size of the firm relative to the total market demand for the product of that firm.
Answer the following statement true (T) or false (F)