Refer to Reducing Long-Run Labor Usage. The scale effect of the wage change is the movement from point

According to Thomas (1954), increased immigration provided incentive to invest in capital that was

(a) labor-using, resulting in capital widening. (b) labor-using, resulting in capital deepening. (c) labor-saving, resulting in capital widening. (d) labor-saving, resulting in capital widening.

If a monopsony finds that its MRP is greater than its MFC, it:

a. is doing the right thing to maximize profits. b. should hire fewer workers to increase profits. c. should hire more workers to increase profits. d. should pay the workers a lower wage. e. should produce less output.