Finsal of asian lady

In the above Figure, the profit-maximizing level of output is: (HW11) A) Between 2 and 3 units. B) 4 units C) Between 4 and 5 units. D) between 5 and 6 units.

B) 4 units

If the elasticity of labor demand is -0.60, then as a result of the increase in the wage rate, total labor income will _________. A) increase because labor demand is elastic. B) decrease because labor demand is elastic. C) increase because labor demand is inelastic. D) decrease because labor demand is inelastic.

C) increase because labor demand is inelastic.

(FR) The marginal physical product of the third worker is: A) 15 units per hour. B) 4 units per hour. C) 3 units per hour. D) 5 units per hour.

D) 5 units per hour.

In Table 15.1, the marginal physical product of the third worker hired is: (HW12) A) 15 units per hour. B) 4 units per hour. C) 3 units per hour. D) 5 units per hour.

D) 5 units per hour.

(FR) If the product price is $4 per unit and that the hourly wage for workers is $12, how many workers should be hired? A) 2. B) 3. C) 4. D) 5.

D) 5.

In Table 15.1, how many workers should be hired? (HW12) A) 2. B) 3. C) 4. D) 5.

D) 5.

Other things being equal, higher wage rates will: A) Decrease the supply of labor. B) Increase the supply of labor. C) Decrease the demand for labor. D) Decrease the quantity demanded of labor.

D) Decrease the quantity demanded of labor.

Total cost at the profit-maximizing rate of output is (FR) A) $16.00. B) $18.80. C) $22.00. D) $25.60.

A) $16.00.

In the above Figure, total revenue at the profit-maximizing rate of output is: A) $22.00. B) $6.40. C) $4.00. D) 16.00.

A) $22.00.

Total revenue at the profit-maximizing rate of output is(FR) A) $22.00. B) $6.40. C) $4.00. D) $16.00.

A) $22.00.

If the elasticity of labor demand is -0.60, a 15 percent increase in the wage rate will induce a: A) 9 percent decrease in the quantity of labor demanded. B) 9 percent increase in the quantity of labor demanded. C) 4.0 percent decrease in the quantity of labor demanded. D) 4.0 percent increase in the quantity of labor demanded.

A) 9 percent decrease in the quantity of labor demanded.

If consumers decide to buy fewer strawberries, then the A) Demand for strawberry pickers will fall. B) Demand for strawberry pickers will rise. C) Quantity demanded of strawberry pickers will fall. D) Quantity demanded of strawberry pickers will rise.

A) Demand for strawberry pickers will fall.

If consumers decide to buy fewer strawberries, then the: A) Demand for strawberry pickers will fall. B) Demand for strawberry pickers will rise. C) Quantity demanded of strawberry pickers will fall. D) Quantity demanded of strawberry pickers will rise.

A) Demand for strawberry pickers will fall.

(FR) The individual labor supply curve starts to bend backward once the A) Income effect exceeds the substitution effect. B) Substitution effect exceeds the income effect. C) Marginal revenue product of labor equals the marginal utility of leisure. D) Total utility of leisure outweighs the total utility of labor.

A) Income effect exceeds the substitution effect.

1. If the entire output of a market is produced by a single seller, the firm: A) Is a monopoly. B) Faces a perfectly inelastic demand. C) Can charge any price it wants and not lose customers. D) All of the above.

A) Is a monopoly.

Ceteris paribus, if immigration to the United States increases the number of workers, the market labor-supply curve will shift to the: A) Right and the equilibrium wage rate will fall. B) Right and the equilibrium wage rate will rise. C) Left and the equilibrium wage rate will fall. D) Left and the equilibrium wage rate will rise.

A) Right and the equilibrium wage rate will fall.

The marginal revenue product of labor is equal to: A) The marginal physical product multiplied by the marginal revenue of the output. B) The change in the quantity of labor divided by the change in total revenue. C) The change in total output divided by the change in the quantity of labor. D) The percentage change in total revenue divided by the percentage change in the quantity of labor.

A) The marginal physical product multiplied by the marginal revenue of the output.

Indicate if the following statement is True or Fals.e A monopolist faces a downward-sloping demand curve which lies above its marginal revenue curve. A) Ture. B) False.

A) Ture.

The individual labor supply curve will be negatively sloped if the substitution effect of wages is: A) Weaker than the income effect of wages. B) Equal to the income effect of wages. C) Stronger than the income effect of wages. D) Negative.

A) Weaker than the income effect of wages.

Suppose a monopoly pharmaceutical company produces a drug and sells 100 prescriptions for $80 each. In order to sell 101 prescriptions, the monopolist must lower the price to $79 per prescription. The marginal revenue of the 101st prescription is: A) $79. B) $-21. C) $7979. D) $1.

B) $-21.

In the above Table, a monopolist will charge a price of _____ to maximize profit: (HW11) A) $450. B) $400. C) $350. D) $300.

B) $400.

If the elasticity of labor demand is -0.60, a 15 percent decrease in the wage rate will induce a: A) 9 percent decrease in the quantity of labor demanded. B) 9 percent increase in the quantity of labor demanded. C) 4.0 percent decrease in the quantity of labor demanded. D) 4.0 percent increase in the quantity of labor demanded.

B) 9 percent increase in the quantity of labor demanded.

Indicate if the following statement is True or False. (HW11) In the above Table 9.2, using marginal approach a monopolist will produce 2 units to maximize profit: A) True. B) False.

B) False.

If the elasticity of labor demand is -1.60, then as a result of the increase in the wage rate, total labor income will _________. A) increase because labor demand is elastic. B) decrease because labor demand is elastic. C) increase because labor demand is inelastic. D) decrease because labor demand is inelastic.

B) decrease because labor demand is elastic.

(FR) If the product price is $4 per unit and that the hourly wage for workers is $12, what is the marginal revenue product of the second worker? A) $4 per hour. B) $6 per hour. C) $24 per hour. D) $40 per hour.

C) $24 per hour.

In the above Figure, total profit at the profit-maximizing rate of output is: A) $16.00. B) $5.50. C) $6.00. D) $22.00.

C) $6.00.

A monopoly (FR) A) Maximizes profits at the output level where P = MC. B) Is one of many sellers in a given market. C) Charges higher prices than competitive firms. D) Maximizes profits at the output level where P = MR.

C) Charges higher prices than competitive firms.

For a monopolist, the profit-maximizing rate of output occurs where: A) MC = minimum ATC. B) P = MC. C) MR = MC. D) P = ATC.

C) MR = MC.

Other things being equal, a profit-maximizing employer will employ additional labor as long as: A) The MPP of labor exceeds the MRP of labor. B) The wage rate exceeds marginal revenue. C) The cost efficiency of labor falls relative to other inputs. D) The MRP of labor exceeds the wage rate.

D) The MRP of labor exceeds the wage rate.

In the above Figure, a profit-maximizing monopolist will charge a price of: A) $6.40. B) $4.70. C) $4.00. D)$5.50.

D)$5.50.

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Chapter 10 Monopoly

• Characteristics • Barriers to entry - natural monopoly • Demand curve• Marginal curve • Total revenue curve • Profit maximization rule • Difference between perfect competition and monopoly

Chapter 11 Oligopoly

• Characteristics • Mutual interdependence • Implication