Which of the Following Statements Regarding Monopsony Is False

question 29

Multiple Choice

Which of the following statements regarding monopsony is false?

• A) The marginal cost of labour is lower than the average cost of labour in the case of monopsony.
• B) The equilibrium wage and the equilibrium employment levels are lower than what they would be if the labour market were perfectly competitive.
• C) All workers except the marginal worker are paid more than their reservation wage.
• D) The total wage bill is lower in the case of monopsony.
• E) If a competitive labour market were to become a monopsony, economic rent would be transferred from the workers directly to the employer.

Distinguish between different motivational theories, including McClelland's acquired needs theory, Alderfer's ERG theory, and goal-setting theory.

Apply expectancy theory to practical situations in motivating staff and improving work performance.

Recognize the significance of organizational justice and how it influences motivation and behavior in the workplace.

Explain Herzberg's two-factor theory and its implication on job satisfaction and motivation.

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Definitions:

Reflex

An automatic, involuntary response to a stimulus that does not involve conscious thought, designed to protect the body.

Maturation

Changes that occur according to one’s genetically determined biological timetable of development.

Learning

A process that induces changes in knowledge, behaviors, or attitudes through experience, practice, or study.

Relatively Permanent

A term often used in psychology to describe changes or effects that endure over time, although not necessarily without the possibility of change.