Suppose a Monopsonist Wants to Hire More Workers

question 53

Multiple Choice

Suppose a monopsonist wants to hire more workers. If it has to pay the same wage to all of its workers, the:

• A) marginal factor cost will fall while the wage will rise.
• B) wage will fall while the marginal factor cost will rise.
• C) difference between the wage and marginal factor cost will become smaller.
• D) wage and the marginal factor cost will increase.

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Definitions:

System Clock

A timing device within a computer that synchronizes and governs the timing of all computer operations.

Volatile Storage

A type of memory that requires power to maintain the stored information; it loses its data when power is turned off.

CPU Speed

The speed at which a computer's central processing unit (CPU) executes instructions, typically measured in Hertz (Hz); it determines the efficiency and performance of the computer's processing power.