A Firm Should Hire More Workers to Increase Its Profits

question 100

Multiple Choice

A firm should hire more workers to increase its profits if

• A)the marginal product of labour is greater than the wage the firm will pay these workers.
• B)the wage rate is less than the marginal revenue product of labour.
• C)there is enough capital and other resources for the workers to use.
• D)the demand for labour is elastic.

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Definitions:

Lek

Of some birds, a communal mating display area for males.

Large Territories

Expansive areas controlled or inhabited by a particular country, organism, or individual, often associated with the acquisition of resources or living space.

Methylation

The addition of a methyl group to a molecule, often DNA, affecting gene expression without changing the DNA sequence.

Acetyl Group

A chemical group derived from acetic acid, with the formula CH3CO, important in various biological processes including metabolism.