Exhibit 12-7 -Exhibit 12-7 Reflects Which of the Following

question 146

Multiple Choice

Exhibit 12-7
-Exhibit 12-7 reflects which of the following?

• A) A union that is restricting the supply of labor.
• B) A firm that is restricting the number of job openings.
• C) The price of the good produced by this labor is rising.
• D) The price of the good produced by this labor is falling.
• E) The union that is creating an excess supply of labor.

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Definitions:

Total Revenue

The total income a firm receives from selling its products or services, calculated by multiplying the price per unit by the number of units sold.

Marginal Cost

Is the cost of producing one additional unit of a good or service.

Least-cost Combination

An optimal mix of inputs that minimizes the cost of production while yielding a given level of output.

Net Gain

The difference between total revenues and total expenses, indicating the financial profitability of a transaction or activity.