Refer to the labor market diagram where D is the labor demand curve, S is the labor supply curve, and MRC is the marginal resource (labor) cost curve. If this were a monopsonistic labor market, the equilibrium wage rate and level of employment would be:
A. $5 and 3 respectively.
B. $6 and 4 respectively.
C. $7 and 5 respectively.
D. $8 and 3 respectively.
A. $5 and 3 respectively.
Economics
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Examples used in the text to illustrate "competition among the few" include all of the following industries except
a. cereal b. airline c. fish d. automobile e. baby food
Economics
Which of the following will result in the greatest deadweight loss from tax?
a. A tax on gasoline b. A tax on Porsche cars c. A tax on salt d. A tax on cigarettes
Economics