Refer to the given data. If the prices of labor and capital are $9 and $15 respectively, and labor and capital are the only inputs, at the profit-maximizing level of output, the firm's total costs will be:

The above figure shows the market for labor. The employer is a monopsony. If a minimum wage is set at $10 per hour, which of the following will occur?

A) The firm will pay $5 per hour. B) The firm will pay $10 per hour. C) The firm will pay $15 per hour. D) The firm will hire less than 400 hours of labor.

If a profit-maximizing monopolistic competitor earns positive economic profits in the short run: a. demand will become increasingly inelastic as new firms enter. b. the firm should increase its output as new firms enter

c. there must be barriers to entry into the industry. d. new firms will be attracted to the industry. e. both b. and d. are correct.