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Question
The Acme Company is a perfect competitor in its input markets and its output market. Its average product of labor is at its maximum and equals 30. The marginal revenue product of labor is $300. The price of its outputA) is $0.10.
B) is $10.
C) is $9,000.
D) cannot be determined without more information.
Answer
This answer is hidden. It contains 1 characters.
Related questions
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B) NPV is understated
C) NPV is unaffected
D) NPV changes from positive to negative
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For net present value calculations, the rate of return that one could earn by investing in another project with similar risk is known as the:
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Q:
If the inflation rate falls and nominal interest rates are unchanged,
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Q:
The real interest rate is
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Q:
The first term in an NPV calculation is usually
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Q:
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Q:
Which of the following is NOT a factor that has contributed to declining private-sector differential between union and nonunion wages in the U.S. since 1980?
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Suppose a labor market has perfectly inelastic supply that is composed of union and non-union workers, and both groups of workers initially earn the perfectly competitive wage. What happens to the equilibrium employment level and wage for union workers if the union exercises its bargaining power?
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B) Everyone
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Q:
Scenario 14.4:
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B) Marginal revenue product of labor
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Q:
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Q:
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Q:
Which of the following is NOT true about the supply of labor to the firm in a competitive labor market?
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Q:
Use the following statements to answer this question:
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Q:
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Q:
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Q:
An increase in technology that enhances labor productivity will likely result in:
A) a decrease in labor employment and an increase in the wage rate.
B) an increase in labor employment and an increase in the wage rate.
C) a decrease in labor employment and a decrease in the wage rate.
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E) employers using less labor and more capital while the wage effect is unknown.
Q:
Scenario 14.2:A firm can hire labor at the minimum wage of $4.25 per hour. Assume that labor works 8 hours a day. The firm's production function is as follows:Number of Days Number of Units of Labor of Output 0 0 1 8 2 15 3 21 4 26 5 30Refer to Scenario 14.2. What is the average product of the 4th worker?A) 4B) 5C) 6D) 6.5E) 7
Q:
If leisure is a normal good, then the income effect of a decrease in wage will
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C) decrease the number of leisure hours.
D) increase the sum of leisure plus hours worked.
Q:
The marginal revenue product can be expressed as the
A) additional revenue received from selling one more unit of product.
B) increment to revenue received from one additional unit of input hired.
C) marginal physical product of an input times the average revenue received from the sale of the product.
D) average physical product of the input times the marginal revenue received from the sale of the final product.