A monopsonist's marginal factor cost (MFC) curve lies above its supply curve because the firm must:
a. lower the product price to sell more.
b. increase the price of its product to sell more.
c. decrease the factor price to hire more.
d. lower the factor price to hire more.
e. none of these.
c
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The major determinant of an individual's income is
a. whether or not his family is wealthy. b. his personality-if the coworkers and the boss like him. c. how productive he is combined with demand for what he produces. d. if he earns a salary or if he is paid by the hour.
Import restrictions due to the imposition of tariffs by the U.S. government
A) will ultimately cause inefficient resource allocation in the United States. B) will lead to lower incomes in the economy of U.S. trade partners. C) will lead to a decline in the quantity of the product consumed in the United States. D) All of the above are likely to occur.