If a Monopsony Must Negotiate with a Union, Then the Wage

question 35

Multiple Choice

If a monopsony must negotiate with a union, then the wage will probably be

• A) the same as if there had been no union.
• B) more than the marginal cost of labour.
• C) more than the value of marginal product.
• D) more than what it would have been without a union but not more than the value of marginal product.

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Definitions:

Sharpe Ratio

A metric used to evaluate the risk-adjusted return of an investment portfolio, indicating how much excess return you receive for the extra volatility of holding a riskier asset.

Standard Deviation

A measure of the amount of variation or dispersion of a set of values, indicating how spread out the values are from the average.

Standard Deviation

A statistical measure of the dispersion or spread in a set of data, indicating how much variation exists from the average.