Graphically, a firm determines the optimal amount of labor to hire in its production at:
a. the point of intersection of the marginal product of labor curve and the market wage rate.
b. the point of interception of the marginal revenue product curve and the horizontal axis.
c. the point of intersection of the marginal revenue product curve and the market wage rate.
d. the point of interception of the market wage rate and the vertical axis.
c
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What matters to people is the face value of money or income
Indicate whether the statement is true or false
The theory of monopolistic competition predicts that in long-run equilibrium a monopolistically competitive firm will:
a. produce the output level at which price equals long-run marginal cost. b. operate at minimum long-run average cost. c. overutilize its insufficient capacity. d. produce the output level at which price equals long-run average cost.