If a firm finds that the wage rate (W) is less than the value of marginal product (VMP), then to maximize its profit the firm should hire
A) less labor, which will increase the VMP.
B) more labor, which will decrease the VMP.
C) no more or less labor, because profits are greatest when W < VMP.
D) more labor, because hiring more labor will increase both W and VMP until they are equal.
Question 2
The figure above shows the market for milk. If one firm owns all the milk outlets in the city and sells 100 gallons of milk
A) the market is efficient because the marginal social benefit from the last gallon of milk exceeds its marginal social cost.
B) the market is efficient because the total social benefit from milk exceed the total social cost.
C) there is a deadweight loss because the marginal social benefit from the last gallon of milk exceeds its marginal social cost.
D) there is a deadweight loss because the marginal social cost of the last gallon of milk exceeds its marginal social benefit.
Firing Rate of Individual SCN Neurons in a Tissue Culture Color bars have been added to emphasize th
Increasing access to care for teen mothers is important because they have a higher rate of pregnancy ...
How to solve rate problems leading to fractional equations (Question 1)
Factors That Affect Your Basal Metabolic Rate
Importance of Considering Gestalt Principles in Product Design
The phenotype of an organism is the product of interactions