A Monopsonist Must Pay a Higher Net Wage Rate to Hire

question 27

Multiple Choice

A monopsonist must pay a higher net wage rate to hire additional workers because as a single

• A)Seller,it has market power.
• B)Seller,it does not have to compete with other firms for customers.
• C)Buyer in the market,it faces an upward-sloping supply curve for labor.
• D)Buyer in the market,it faces a flat supply curve for labor.

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Definitions:

Asbestos Plant

An industrial facility involved in processing asbestos, a hazardous material known for causing respiratory diseases, including mesothelioma, if inhaled.

Cancer Risk

The probability or likelihood of developing cancer during one’s lifetime, influenced by genetic, environmental, and lifestyle factors.

Superego

In Freudian psychoanalytic theory, the part of the personality that represents moral standards, conscience, and the ideal self, often in conflict with the id's desires.

Id

A component of Sigmund Freud's psychoanalytic theory, representing the instinctual drives and the source of psychic energy.