If the value of the marginal product of labor exceeds the wage, then the firm could
a. increase profit by hiring additional labor.
b. increase profit by reducing the amount of labor hired.
c. increase revenue by lowering output.
d. reduce total cost by hiring additional workers.
a
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The marginal rate of technical substitution of labor for capital (MRTSLK) measures
a. the amount of capital that can replace a unit of labor without affecting the firm's output. b. the additional output attributable to a 1% increase in labor and capital usage. c. the rate at which the firm can exchange labor for capital in the input markets. d. the slope of the firm's expansion path.
Given the values in the table above, the real interest rate r = ________ when equilibrium output Y = 15
A) 9.8 B) 3.8 C) 3.18 D) 10 E) none of the above
According to the theory of money, what is the most compelling evidence to use against those researchers or historians who believe that England was responsible for creating a shortage of money in colonial America?
(a) Colonial growth in commerce and trade proceeded. (b) The colonists paid moderate rates of interest. (c) Investment in colonial America occurred. (d) Prices increased, rather than decreasing.
Pair-wise majority voting fails to meet which of the following criteria?
A. Transitivity B. Independence of irrelevant alternatives and transitivity C. No dictator and transitivity D. No dictator and independence of irrelevant alternatives