When hiring additional workers, a firm operating in a perfectly competitive labor market will
A) have to offer higher wages to hire additional workers, but the old workers do not get the higher wage.
B) have to offer higher wages to hire additional workers, and the old workers will also receive the new, higher wage.
C) be able to hire additional workers without offering higher wages.
D) be able to hire additional workers at lower wages because the new workers have been unemployed.
Answer: C
You might also like to view...
The HPAE focused their education spending on the university level to better develop high technology workers
Indicate whether the statement is true or false
A microeconomist would most likely study the effect of a reduction in income tax rates on: a. total output in the economy
b. the output of the steel industry. c. inflation. d. unemployment.
Technological change and labor productivity are negatively related.
Answer the following statement true (T) or false (F)
Which group has a direct responsibility for providing analysis, advice, and assistance to the U.S. president on economic matters?
A. The Congressional Budget Office B. The Joint Economic Committee C. The Council of Economic Advisors D. The Federal Reserve Board