In Order to Maximize Its Profit,or Minimize Its Loss,the Firm

question 49

Multiple Choice

In order to maximize its profit,or minimize its loss,the firm must hire workers until

• A) the extra revenue from the last worker equals the extra profit.
• B) the extra revenue from the last worker equals the extra cost.
• C) total revenue and total labour cost are equal.
• D) the marginal product of workers begin to decline.
• E) the marginal product of workers becomes negative.

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Definitions:

Slow-to-warm Babies

Refers to a temperamental category where infants are initially hesitant about new experiences but gradually become more comfortable with repeated exposure.

Thomas and Chess

Psychologists who developed a model categorizing infants into three types of temperament: easy, difficult, and slow-to-warm-up.

Continuity Theory

The theory suggesting that people need to maintain their desired level of involvement in society in order to maximize their sense of well-being and self-esteem.

Aging

The process of becoming older, a sequence of physical, psychological, and social changes over time.