An increase in the output price will increase the firm's demand for labor, all else equal
a. True
b. False
Indicate whether the statement is true or false
True
You might also like to view...
Which of the following formulas accurately reflects this graph?
a. P* ($8) ? ATC ($7) ? q* (100) = $100
b. P* ($8) + ATC ($7) ? q* (100) = $1,500
c. P* ($8) ? ATC ($7) ÷ q* (100) = $.01
d. P* ($8) + ATC ($7) ÷ q* (100) = $.15
People know that the inflation rate will increase from 3% to 5%. As a result...
What will be an ideal response?
A monopolist is producing at an output level at which MR = $6 and MC = $9. It could increase profits
A) by increasing both output and price. B) by reducing output and by increasing price. C) by reducing both output and price. D) by increasing output and by reducing price.
A firm will ________ at the output where marginal cost increases
A. start to experience losses B. begin to experience diminishing returns C. begin to experience increasing returns D. become profitable