In the DMP model
A) the market wage is equal to the marginal product of labor.
B) the market wage is equal to the marginal rate of substitution of leisure for consumption.
C) the wage is equal to the marginal rate of transformation.
D) the wage is determined by bargaining between the firm and the worker.
D
Economics
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Which of the following always decreases when output increases?
A) total fixed cost B) marginal cost C) average variable cost D) average fixed cost E) total cost
Economics
Long-run economies of scale exist over the range of output for which the long-run average cost curve:
a. is constant. b. is falling. c. is rising. d. does not exist.
Economics