The industry demand curve for labor is the
A) horizontal sum of individual firm labor demand curves.
B) vertical sum of individual firm demand curves.
C) representative firm's demand curve multiplied by the number of firms.
D) none of the above
Question 2
Suppose you cannot buy information that completely removes the uncertainty from a business decision that you face, but you could buy information that reduces the degree of uncertainty.
Based on the discussion in this chapter, the value of this partial information could be determined as the: A) expected outcome under complete certainty minus the expected outcome under the partial information case.
B) expected outcome under the partially uncertain case minus the expected outcome under the completely uncertain case.
C) utility of the partially certain case minus the utility of the completely certain case.
D) We cannot determine the value of information under partial certainty.
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