The decisions of buyers and sellers that affect people who are not participants in the market create

A price floor is considered

A) "fair" based only on the fair results view. B) "fair" based only on the fair rules view. C) "unfair" based on both the fair results and fair rules views. D) "unfair" based only on the fair results view. E) "fair" based on the fair results view and on the fair rules view.

We showed above that a profit-maximizing firm will hire the number of workers such that the wage is equal to the value of the marginal product of labor

But, as the text showed in an earlier chapter, a profit-maximizing firm will produce the quantity of output such that price equals marginal cost. Are these two rules inconsistent?