Suppose the MRP of a Firm's 20th Worker Is $16

question 10

Multiple Choice

Suppose the MRP of a firm's 20th worker is $16 and the worker's marginal wage cost is $22. We can say with the most certainty that the firm

• A)is hiring labor in a competitive labor market at a wage rate of $22.
• B)is hiring labor in a monopsonistic labor market.
• C)will find it profitable to hire more workers.
• D)will find it profitable to hire fewer workers.

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Definitions:

Smooth Muscle

A type of muscle tissue that is not under voluntary control, found in the walls of internal organs, such as the stomach, intestines, and blood vessels.

Flaccid

Pertaining to muscle weakness or softness, often indicating a lack of muscle tone.

Rigor Mortis

A postmortem condition where the muscles of the body stiffen due to chemical changes, occurring several hours after death.

Triceps

A muscle located at the back of the upper arm, responsible for extending the elbow.