Answer the following statement(s) true (T) or false (F)
1. As long as labor is not a regressive factor, a higher wage will cause a firm to produce less output in the long run.
2. When labor is a regressive factor, a higher wage rate leads to a reduction in the firm's long-run total costs.
3. If labor is a regressive factor, then a firm's long-run demand for labor may or may not be downward sloping.
4. or a regressive factor the scale effect must be greater than the substitution effect.
5. A competitive firm's demand for labor always slopes down in the short-run but may slope upwards or downwards in the long-run.
1. True
2. False
3. False
4. False
5. False
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Many economists and policymakers have raised concerns about crowd funding due to the existence of:
A) information costs facing small investors B) information costs facing business start ups C) transaction costs facing business start ups D) increased competition for banks in funding business start ups
Which of the following is a common resource?
a. Golden retrievers b. Jersey cows c. Domestic cats d. Panda bears
The _________________________ hold claims to the interest on borrowed funds that are secured by individuals, businesses and property.
Fill in the blank(s) with the appropriate word(s).
A contractionary fiscal policy shifts the aggregate demand curve
A) to the right and is used to close an inflationary gap. B) to the right and is used to close a recessionary gap. C) to the left and is used to close an inflationary gap. D) to the left and is used to close a recessionary gap.