When Personal Computers Became Popular,several New Firms Entered the Competition

question 118

Multiple Choice

When personal computers became popular,several new firms entered the competition.What effect did this have on supply?

• A)Increase in the quantity supplied
• B)Decrease in the quantity supplied
• C)Shift of the supply curve to the left
• D)Shift of the supply curve to the right
• E)Shift of both demand and quantity demanded

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Definitions:

Marginal Wage Cost

The additional cost incurred by hiring one more unit of labor, reflecting the change in total wages from employing an additional worker.

Monopsonistic Labor Market

A market condition where a single buyer (employer) controls the market for labor and determines wages and employment levels.

Labor Demand Data

Information and metrics related to the number of workers employers are willing and able to hire at different wage levels, across various industries or the economy as a whole.

Labor Supply Data

Information regarding the number of individuals available to work, including their skills and wage requirements.