econ quiz 15

The value of the marginal product of labor (also known as the marginal revenue product of labor) is:

the increase in firm revenue when an additional worker is employed

Which of the following represents human capital?

All of the answers are correct

Some workers have higher wages than others because:

All of these answers are correct.

Why might an individual's labor supply curve bend backwards?

As wages rise above a threshold level, the individual may opt for more leisure time.

Which of the following statements is true?

The market supply of labor is always upward sloping, but an individual's labor supply may not be upward sloping throughout its entire range.

A firm is willing to hire a worker when the marginal product of labor is:

greater than the wage.

The market demand curve for labor is based on the:

marginal product of labor.

The increase in a firm's revenues created by hiring an additional worker is called:

marginal revenue product of labor.

In general, wages are determined:

not by the skills of the worker alone, but also by the productivity of the entire economy

If all persons had the same preferences and productivity, then the highest paying jobs would be the most:

undesirable.