Under Monopsony, the Marginal Factor Cost of a Worker Is

question 54

Multiple Choice

Under monopsony, the marginal factor cost of a worker is equal to

• A) the additional worker's wage rate only.
• B) the additional worker's wage rate plus the increase in the wages of all other existing workers.
• C) the increase in the wages of all other existing workers.
• D) the difference between the worker's wage rate and the lower wage rate received by workers who have already been hired.