Suppose a competitive firm is paying a wage of $12 an hour. Assume that labor is the only input. If hiring another worker would increase output by four units per hour, then to maximize profits the firm should
A) layoff some workers.
B) not change the number of workers it currently hires.
C) hire the extra worker.
D) There is not enough information to answer the question.
D
Economics
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Ten years ago, you set aside $1,000 . For the first 6 years, you earned a return of 6 percent per year, but for the following 4 years, that rate of return dropped to 3 percent. How much money do you now have at the end of the 10 years?
What will be an ideal response?
Economics
A decrease in the quantity of available resources would be represented by:
a. a steeper PPC. b. a point inside the PPC. c. an inward shift of the PPC. d. an upward movement along the PPC. e. a downward movement along the PPC.
Economics