The wage rate will increase and firms will decrease employment to the point where MRP equals the new wage rate if
A. the supply of labor decreases.
B. the supply of labor increases.
C. the demand for labor decreases.
D. the demand for labor increases.
Answer: A
Economics
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The Leontief paradox found that:
a. exports should always be capital intensive. b. imports should always be labor intensive. c. U.S. exports were labor intensive. d. U.S. exports were capital intensive
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Refer to Figure 4-1. If the market price is $3.00, what is the consumer surplus on the second ice cream cone?
A) $0 B) $0.50 C) $3.00 D) $5.50
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