If a Monopsonist Is Hiring Factors,it Will Choose to Hire

question 40

Multiple Choice

If a monopsonist is hiring factors,it will choose to hire that quantity at which __________ and pay a wage rate that is __________.

• A) MR = MC; equal to labor's MRP
• B) the supply curve of labor intersects the demand curve for labor; equal to labor's MRP
• C) MRP = MFC; equal to labor's MRP
• D) MRP = MFC; less than labor's MRP
• E) the supply curve of labor intersects the demand curve for labor; less than MFC

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Definitions:

Satisficing

A decision-making strategy that aims for a satisfactory or adequate result, rather than the optimal solution, due to constraints.

Consultative decisions

a process where decision-making is shared among group members, often leading to consensus.

Authority decisions

Choices made by individuals or entities in positions of power within an organization, often regarding policy or strategic direction.

Vroom, Yetton, and Jago

Researchers known for their decision-making model that focuses on varying leadership styles and the importance of situational factors in decision-making processes.