When We Focus on the Firm as a Supplier of a Good

question 289

Multiple Choice

When we focus on the firm as a supplier of a good or a service, we assume that the firm is a profit maximizer. When we focus on the firm as a demander of labor, we assume that the firm's objective is to

• A)minimize wages.
• B)minimize variable costs.
• C)maximize the number of workers hired.
• D)maximize profit.

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Definitions:

Ambivalence

The state of having mixed feelings or contradictory ideas about something or someone.

Ambivalence

The state of having mixed feelings or contradictory attitudes towards something or someone.

Reactance

A psychological response where an individual feels a need to regain freedom in response to situations or regulations perceived as limiting personal choice.

Reluctance

A resistance or unwillingness to proceed or to do something.