A Monopsonistic Employer's Marginal Resource (Labor) Cost Curve

question 209

Multiple Choice

A monopsonistic employer's marginal resource (labor) cost curve

• A) is always more elastic than the labor supply curve.
• B) coincides with the labor supply curve.
• C) lies below the labor supply curve because the higher wage paid to an additional worker must also be paid to all other employed workers.
• D) lies above the labor supply curve because the higher wage paid to an additional worker must also be paid to all other employed workers.

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