Suppose That the Labor Supply Curve for a Large University

question 7

Multiple Choice

Suppose that the labor supply curve for a large university in a small town is given by w = 140 + 0.05L, where L is number of units of labor per week and w is the weekly wage paid per unit of labor. If the university is currently hiring 1,000 units of labor per week, the marginal cost of an additional unit of labor

• A) is twice the wage rate.
• B) equals the wage rate plus $50.
• C) equals the wage rate plus $100.
• D) equals the wage rate.
• E) equals the wage rate plus $150.

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Definitions:

Pericycle

A layer of cells in plant roots that can give rise to lateral roots and is involved in secondary growth.

Endodermis

The innermost layer of cells in the cortex of a plant root, functioning as a selective barrier that regulates the passage of substances from the soil into the vascular system.

Stele

The central part of a root or stem containing the vascular tissue of xylem and phloem, responsible for the transport of water and nutrients.

Cortex

The outer layer of various organs and structures in the body, such as the brain and adrenal glands, or the primary layer of stems and roots in plants.