The Acme Company Is a Perfect Competitor in Its Input

question 37

Multiple Choice

The Acme Company is a perfect competitor in its input markets and its output market. Its average product of labor is 30, the marginal product of labor is 20, the price of labor is $20, and the price of the output is $5. For Acme Company, the marginal revenue product of labor:

• A) is $100.
• B) is $150.
• C) is $400.
• D) is $600.
• E) cannot be determined with the information provided.

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Definitions:

Employee Empowerment Unionism

A form of unionism that emphasizes giving workers greater control and a voice in their workplace and working conditions.

Institutionally Secure Unions

Labor organizations that are firmly established and protected, often through legislation or long-standing collective bargaining agreements, ensuring their continued presence and influence.

Militant

An individual or group adopting a combative or aggressive approach in promoting or defending their interests, often used in the context of labor disputes.

Exclusive Representation

The right of a single labor union to represent all employees in a workplace in negotiations with the employer.