Author Question: A decrease in the price of a firm's output A) raises the value of marginal product of each unit ... (Read 67 times)

penguins · **on:** Jun 29, 2018

A decrease in the price of a firm's output

A) raises the value of marginal product of each unit of labor.
B) shifts the firm's demand for labor curve rightward.
C) results in the firm increasing the amount of output it produces.
D) None of the above is correct.

Question 2

The Coase Theorem points out that externality problems can be eliminated if the number of parties involved is small and if property rights

A) are granted solely to consumers.
B) are granted solely to producers.
C) are eliminated.
D) are granted to either consumers or producers and transactions costs are low.