Other things held constant, after some point hiring additional units of labor will cause the marginal physical product of labor to decline because
A) the firm is a price taker.
B) the wage rate increases when additional workers are hired.
C) of the law of diminishing marginal product.
D) the supply of labor is perfectly elastic.
C
Economics
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Refer to the above table. If the price is $6 the maximum profit this firm could earn is
A) $210. B) $414. C) $420. D) $630.
Economics
Assume a fixed demand for money curve and the Fed decreases the money supply. In response, people will:
a. sell bonds, thus driving up the interest rate. b. sell bonds, thus driving down the interest rate. c. buy bonds, thus driving up the interest rate. d. buy bonds, thus driving down the interest rate.
Economics