If individuals are paid the wage at which the supply of labor is equal to the demand for labor,
A) no unemployment exists, and workers have no incentive to shirk.
B) no unemployment exists, and workers have an incentive to shirk.
C) some unemployment still exists, but workers have no incentive to shirk.
D) some unemployment still exists, but managers can tell whether or not workers are shirking.
B
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Big Roads and Big Pavers are two competing road construction firms. The managers of these two firms should never undertake all of the following actions except which one?
A) agree to submit a high bid on a contract B) agree to submit a low bid on a contract C) agree to the number of contracts the firms will bid on D) share information and experiences from implementing new government safety standards
If demand is price elastic, total revenue is
a. directly related to quantity demanded b. inversely related to quantity demanded c. directly related to price d. directly related to price and inversely related to quantity demanded e. not related to either price or to quantity demanded
Which of the following would be an example of an implicit cost? (i) forgone investment opportunities (ii) wages of workers (iii) raw materials costs
a. (i) only b. (ii) only c. (ii) and (iii) only d. (i) and (iii) only
For a perfectly competitive firm, the short-run break-even point occurs at the level of output where
A) P > MR = MC. B) MR = P > MC. C) MR < P = MC. D) P = MC = ATC.