If a Monopolist Has an Output Price of $10, Marginal

question 29

Multiple Choice

If a monopolist has an output price of $10, marginal revenue equal to $4, and faces a fixed wage of $6, he or she should hire labor until the marginal revenue product is equal to

• A) $10.
• B) $4.
• C) $6.
• D) $2.

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Definitions:

Direct Control

Supervising employees in explicit ways and monitoring their behavior to make sure they are performing adequately.

Alcoholic

A person who suffers from alcoholism, which is a chronic disease characterized by an uncontrollable desire to consume alcohol despite its negative effects.

Airline Attendant

A professional responsible for ensuring the safety and comfort of passengers onboard an aircraft, typically addressing in-flight service, security, and emergency procedures.

Technological Control

The use of various forms of organizational technology to control worker productivity.