If a union sets the wage rate to maximize the total wage receipts of its members, the price elasticity of demand for labor would be
A) zero.
B) numerically equal to 1.
C) finite, but greater than -1.
D) positive, but less than 1.
Answer: B
Economics
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If firms in monopolistic competition are earning economic profits, then
A) they can expect to earn the profits indefinitely. B) new rivals enter the industry, and the demand for any seller's good decreases. C) the market demand becomes more inelastic. D) the industry is in long-run equilibrium. E) new rivals enter the industry, and the demand for any seller's good increases.
Economics
Refer to the scenario above. What is the opportunity cost of printing one notebook?
A) 0.5 magazines B) 1 magazine C) 2 magazines D) 30 magazines
Economics