Suppose That a Monopsonist Increases the Number of Workers Hired

question 115

Multiple Choice

Suppose that a monopsonist increases the number of workers hired from 10 to 11.If the market wage increases from $20 per worker to $21 per worker, the marginal factor cost for the eleventh worker is:

• A) $20.
• B) $21.
• C) $31.
• D) $231.

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Definitions:

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A set of annual international awards bestowed in several categories by Swedish and Norwegian institutions in recognition of academic, cultural, or scientific advances.

Ionize

The process by which an atom or a molecule acquires a negative or positive charge by gaining or losing electrons.

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A type of ionizing radiation consisting of two protons and two neutrons; they are a common form of particles emitted by radioactive materials.

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Electromagnetic radiation of the highest frequency and energy, emitted from atomic nuclei during radioactive decay.