Refer to the above table. If the marginal revenue product is $21, how many workers will the profit maximizing monopsonist hire and what wage will they pay each worker?
A. 2; $19
B. 3; $21
C. 2; $21
D. 1; $17
Answer: A
You might also like to view...
The Congressional Budget Office estimates that the ratio of publicly held debt to GDP will ________ by 2050 if no entitlement reforms are enacted
A) remain close to the current high level of 73% B) fall to only about 55% C) more than triple to about 250% D) rise to about 130%
The justification for occupational licensing laws is that they protect the public from incompetent practitioners (for example, lawyers and medical doctors), but the laws also result in
A) ownership of a key input. B) higher prices and restrictions on the number of people who can enter the professions affected by the laws. C) an increase in the amount of output required to achieve minimum efficient scale. D) economies of scale.
In a closed economy, an increase in government spending, while taxes remain the same, will be accompanied by
A) a decrease in private investment and an increase in privates saving. B) an increase in private investment and a decrease in private savings. C) a decrease in private investment only. D) an increase in private savings only.
Which of the following economic perspectives for decision making is a statement that describes the world as it is?
a. Positive statement b. Normative statement c. Cognitive statement d. Reflective statement