A Major Computer Software Company Maintains a Technical Support Center

question 120

Multiple Choice

A major computer software company maintains a technical support center in a rural area and is the only employer in this region. Suppose the firm develops a new software system for managing technical support calls, and the marginal product of labor increases. What happens to the equilibrium outcome in this labor market?

• A) Labor demand shifts rightward, equilibrium wage and employment levels decline.
• B) Labor demand shifts rightward, equilibrium wage and employment levels increase.
• C) Labor demand curve remains the same, equilibrium wage and employment levels increase.
• D) Labor demand curve remains the same, equilibrium wage and employment do not change.
• E) none of the above

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Definitions:

Slide Show View

A feature in presentation software that displays the current slide in full-screen mode, used during actual presentations.

Template

A pre-designed framework or layout that can be used as a guide to create new documents or projects, maintaining consistency in design and format.

Operating System

Software that manages computer hardware, software resources, and provides common services for computer programs.

Platform

A base of technologies or services on which other applications, processes, or technologies are developed and run.