Marginal revenue product falls as more labor is hired because
A) the price of the product must fall for a perfectly competitive firm to sell more.
B) the marginal product of labor is negative as additional units of labor are hired.
C) the wage rate rises as more workers work more hours.
D) the marginal product of labor falls as a result of the law of diminishing returns.
Question 2
Only one of the following statements is correct. The statements compare perfectly competitive (PC) markets and monopolistically competitive (MC) markets. Which statement is correct?
A) Productive efficiency is achieved in both PC and MC markets. Allocative efficiency is achieved only in MC markets.
B) Allocative efficiency is achieved only in PC markets. Productive efficiency is achieved only in MC markets.
C) Productive efficiency and allocative efficiency are both achieved in PC markets. Neither is achieved in MC markets.
D) Allocative efficiency is achieved in both PC and MC markets. Productive efficiency is achieved only in PC markets.
Risk factors for falls
Wheat and Cotton Prices and Consumer Price Indexes, 1865–1896
North Korea: Labor Issues
Use the product rule to find derivative
To find the derivative use product rule
The retail price of a packaged CD is $60.00, which includes a tax of 4%. What is the actual ...