Which of the Following Statements About Product Market Competition and Labor

question 7

Multiple Choice

Which of the following statements about product market competition and labor market competition is true?

• A)An organization that has higher labor costs than its product market competitors will have to charge lower average prices for products of similar quality.
• B)The upper bound placed by the labor market is more constrictive when labor costs are a larger share of total costs.
• C)Product market competition places an upper bound on labor cost whereas, labor market competition places a lower bound.
• D)Product market competition is the amount an organization must pay to compete against other companies that hire similar employees.
• E)Indirect payments are not considered while calculating the average cost per employee.

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Definitions:

Cambium

See Lateral Meristems.

Ground Tissue

Ground tissue comprises most of a plant's vegetative organs, such as leaves and stems, providing support, storage, and photosynthesis functions.

Gymnosperms

A collection of plants capable of producing seeds, featuring members such as conifers, cycads, Ginkgo, and gnetophytes, distinguished by their seeds that are not contained within an ovary.

Softwood

Wood derived from coniferous trees, typically softer and used in various types of construction and paper products.