Refer to Scenario 7.3. Suppose that the price of labor is 5 and ...

[OSWALD]

Refer to Scenario 7.3. Suppose that the price of labor is 5 and the price of capital is 20. Your firm desires to produce 200 units of output. How much labor will be hired to minimize the costs of producing 200 units of output?
 
  A) 25
  B) 50
  C) 100
  D) 200
  E) none of the above

Question 2

If the factor supply curve facing a monopolist is the market supply curve, and if the market supply curve is an upward sloping straight line, the marginal expenditure curve
 
  A) lies below the market supply curve.
  B) lies above the market supply curve.
  C) is the market supply curve.
  D) crosses the market supply curve at the market wage rate.
  E) either A or B is possible.

[chem1s3]

Answer to Question 1

C

Answer to Question 2

B

[OSWALD]

Thank you

[chem1s3]

Happy to help you