Suppose That a Firm Hiring Labor in a Perfectly Competitive

question 76

Multiple Choice

Suppose that a firm hiring labor in a perfectly competitive factor market increases the quantity of labor from 10 workers to 11 workers.If the market wage is $20 per worker, the marginal factor cost for the eleventh worker is:

• A) $9.
• B) $10.
• C) $20.
• D) $220.