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A firm is unlikely to hire a worker if:
A. the additional output a firms gets by hiring the worker is
greater than his or her wage.
B. there are diminishing marginal returns to labor.
C. the minimum wage set by law is less than the equilibrium
wage in the market.
D. the additional revenue generated by hiring the worker is
less than his or her wage.
In a competitive labor market, the equilibrium wage rate is
determined by:
A....
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Wage Number of Workers $7 1 2 $9 $11 | $126 The data in the table describe the supply schedule for labor in a monopsonistic labor market. The marginal factor cost of the fifth worker is Which of the following will result in a decrease in the supply of labor? Α ). An increase in worker productivity An increase in the wage rate An increase in the preference for leisure A decrease in the price of the product that the...
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1. The reservation wage likely increases when
A.
the price of consumption increases.
B.
the wage increases.
C.
the price level (of consumption and wages) increases.
D.
non-labor income increases.
E.
one is a discouraged worker.
2. Due to the added worker effect, the labor force participation
rate
A.
increases during a recession.
B.
decreases during a recession.
C.
a fairly useless statistic.
D.
over-counts the number of workers wanting a job.
E.
over-counts the number of workers with a...
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02 Consuelo Chua, Inc., is a disk drive manufacturer in need of an aggregate plan for July through December. The com- pany has gathered the following data: COSTS Holding cost $8/disk/month Subcontracting 580/disk Regular-time labor $12 hour Overtime labor $18 hour for hours above 8 hours/workerday Hiring cost $4000/ worker Layoff cost $8000/worker DEMAND Note: In this problem (and Q3) the production cost should be computed based on the labor cost OTHER DATA Current worden 8 people Labor hours disk...
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1. Which type of worker is more likely to operate in the
secondary labor market?
a. Workers who have little or no incentive to remain with the
firm
b. Workers who are employed at the port of entry and are promoted
quickly
c. Long‐term employees
d. The long‐term unemployed
i). Which of these industry sectors is most likely to have a high
internal labor market
influence?
a. Retail sector
b. Highly competitive product markets
c. Public sector
d. None of...
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1. WidgetWorks operates in perfectly competitive markets. It
hires an extra worker at $24 an hour and each hour he produces six
widgets, which will sell for $10 apiece. Is WidgetWorks at its
profit-maximizing output level?
A. Yes, because it is making a profit on the widgets it has just
produced
B. No, because the marginal revenue product is too high.
C. No, it should hire more workers and increase production.
D. No, it should hire fewer workers and increase...
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a. If increases in capital per worker lead to increased output
per worker, but at a diminishing rate, the per-worker production
function _____.
a
is horizontal
b
has an upward slope at an increasing rate
c
has an upward slope
but at a diminishing rate
d
has a downward slope
at a diminishing rate
e
has downward slope
but at an increasing rate
b. In poorer or "developing" countries there tends to be
a
Plentiful & cheap
land but very...
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Exhibit 6-1 Production of pizza data
Workers
Pizzas
0
0
1
4
2
10
3
15
4
18
5
19
Exhibit 6-1 shows the change in the short-run production of
pizzas as more workers are hired. The table shows the marginal
product of the labor input is decreasing with the hiring of the
third worker. A possible reason for this diminishing marginal
product is:
a.
increased division of labor as additional workers are hired.
b.
increases in plant size.
c....
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c. after the third worker is hired. d. after the fifth worker is hired, 8. When a firm is earning zero economic profit, this implies that the firm a. will be forced out of business unless market conditions change higher rate of return in other industries. c. is doing as well as it could in any other line of business d. is caming a zero rate of retum on its assets. 9. Which of the following is NOT a possible...
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How to solve for the table
In-class Activity #7 Below table illustrates the production of a furniture manufacturing company in the short-run, Labor is the variable input and capital is the fixed Input in the production. Assuming all worker has equal skill at work. Average Product-T Marginal product Total output Labor Capital 48 68 80 78 Fill in the average product and marginal product cells in the table. When do you observe diminishing marginal return from labor in the production?...
Wage Number of Workers $7 1 2 $9 $11 | $126 The data in the table describe the supply schedule for labor in a monopsonistic labor market. The marginal factor cost of the fifth worker is Which of the following will result in a decrease in the supply of labor? Α ). An increase in worker productivity An increase in the wage rate An increase in the preference for leisure A decrease in the price of the product that the...
02 Consuelo Chua, Inc., is a disk drive manufacturer in need of an aggregate plan for July through December. The com- pany has gathered the following data: COSTS Holding cost $8/disk/month Subcontracting 580/disk Regular-time labor $12 hour Overtime labor $18 hour for hours above 8 hours/workerday Hiring cost $4000/ worker Layoff cost $8000/worker DEMAND Note: In this problem (and Q3) the production cost should be computed based on the labor cost OTHER DATA Current worden 8 people Labor hours disk...
c. after the third worker is hired. d. after the fifth worker is hired, 8. When a firm is earning zero economic profit, this implies that the firm a. will be forced out of business unless market conditions change higher rate of return in other industries. c. is doing as well as it could in any other line of business d. is caming a zero rate of retum on its assets. 9. Which of the following is NOT a possible...
How to solve for the table
In-class Activity #7 Below table illustrates the production of a furniture manufacturing company in the short-run, Labor is the variable input and capital is the fixed Input in the production. Assuming all worker has equal skill at work. Average Product-T Marginal product Total output Labor Capital 48 68 80 78 Fill in the average product and marginal product cells in the table. When do you observe diminishing marginal return from labor in the production?...