If the Cost of Using Skilled Labor Was Twice the Cost

question 111

Multiple Choice

If the cost of using skilled labor was twice the cost of using unskilled labor, and both were used by a profit-maximizing firm, the firm would adjust the quantity of each type of labor until

• A) the marginal product of each was the same.
• B) twice as much unskilled labor was used.
• C) half as much unskilled labor was used.
• D) the marginal product of skilled labor was twice that of unskilled labor.

---

Definitions:

Federal Disaster

An event significant in scale and impact, officially declared by the federal government, triggering access to federal funds and resources for recovery.

Tax Return

The documentation filed with tax authorities detailing income earned, taxes owed, and other information necessary to calculate tax liability.

Adjusted Gross Income

This is your gross income after adjustments have been made for certain deductions, crucial in determining your taxable income.

Miscellaneous Deductions

Deductions that do not fit into standard categories on tax returns, often subject to limitations or thresholds before they can be claimed.