An Increase in the Demand for Automobiles Will Increase the Demand

question 133

Multiple Choice

An increase in the demand for automobiles will increase the demand for the labor used to produce the automobiles due to a(n) _____

• A)increase in the marginal revenue product of labor.
• B)decrease in the marginal revenue product of labor.
• C)increase in the marginal revenue product of automobiles.
• D)decrease in the marginal revenue product of automobiles.
• E)decrease in the average revenue of labor.

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Definitions:

Fallacy Of Logic

An error in reasoning that renders an argument invalid or undermines the argument's logical structure.

Ceteris Paribus

Ceteris paribus is a Latin phrase meaning "all other things being equal," used in economics to isolate the effect of one variable change in the study of a phenomenon.

Inductive Reasoning

A method of reasoning in which general conclusions are drawn from specific observations or instances, often used in scientific and philosophical contexts.

Single Factor

In economics, a variable or input that is considered in isolation to evaluate its impact on an outcome or process.