The demand for labor is a derived demand. Employers hire workers until the
A. wage rate equals the average product of labor.
B. wage rate equals the marginal revenue product of labor.
C. last worker hired adds nothing to total output.
D. average product of labor is zero.
Answer: B
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Aggregate expenditure is total:
A. spending on final goods and services. B. value added in the economy. C. revenue from the sale of goods and services. D. income of households, businesses, governments, and foreigners.
It is ________ difficult to effectively time fiscal policy than monetary policy because ________
A) more; fiscal policy can be quickly decided and changed B) more; fiscal policy takes longer to implement C) less; monetary policy takes longer to implement D) less; monetary policy takes longer to decide and change
According to the Bureau of Labor Statistics, in the Federal Government, the starting salary for economists having a bachelor's degree was $35,752 in 2007. Assume that our economist will get this government job that offers a 3 percent raise annually. After 5 years of working, she quits and never works again. How much will this worker have earned over her brief working career? How much will she have paid in Social Security and Medicare taxes if the tax rate is 7.45 percent?
What will be an ideal response?
Setting concert ticket prices below their market clearing level replaces monetary with nonmonetary costs
Indicate whether the statement is true or false