Use the Following to Answer Questions 5-7

question 55

Multiple Choice

Use the following to answer questions 5-7:
Table 13.1
-(Table 13.1) The table shows the quantity of labor demanded at different wage rates. Which of the following statements is TRUE? I. When the market wage is $25 and the firm hires 7 workers, the benefit of hiring the seventh worker is greater than the costs of hiring the seventh worker.
II) When the market wage is $25 and the firm hires 4 workers, the benefit of hiring the fourth worker is less than the costs of hiring the fourth worker.
III) When the market wage is $25 and the firm hires 5 workers, the benefit of hiring the fifth worker on the margin equals the costs on the margin of hiring the fifth worker.

• A) I
• B) I and II
• C) III
• D) I and III

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Definitions:

Goal Setting

The process of identifying specific, measurable, achievable, relevant, and time-bound objectives to guide actions and measure progress.

Increased Understanding

The enhancement of knowledge, comprehension, or awareness about a topic, situation, or process.

Competing Organizations

Entities that are in direct rivalry, offering similar goods or services within the same market.

Performance Expectations

The standards or benchmarks set for employees' work output and behavior in the workplace.