For a competitive firm the marginal revenue product of labor is usually downward sloping
What will be an ideal response?
True. The marginal revenue product equals the marginal product multiplied by the constant price. The marginal product of labor is usually downward sloping due to diminishing marginal returns.
Economics
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According to Keynesians, the primary source of business cycle fluctuations is
A) aggregate demand shocks. B) productivity shocks. C) oil price shocks. D) consumer confidence shocks.
Economics
Two-part pricing offers a mechanism whereby the firm can
A) charge two different prices to distinct groups of customers. B) collect two times as much from consumers as a single-price monopoly can. C) capture some or all of the consumer surplus. D) reduce some of its fixed costs.
Economics