Assume That Labor Is Plotted on the Horizontal Axis and Capital

question 120

Multiple Choice

Assume that labor is plotted on the horizontal axis and capital is plotted on the vertical axis.A firm plans to spend $1,000 per week on inputs and confronts a wage rate of $10 per hour and a capital rental rate of $20 per hour.Given this information,what will be the slope of the isocost curve?

• A)-2
• B)-1/2
• C)-100
• D)-50

---

Definitions:

Unemployment Compensation Claims

Formal requests filed by individuals who have lost their jobs to receive financial benefits while they seek new employment.

Employers

Entities or individuals who hire and pay employees for their services in conducting business activities.

Challenge

An invitation or a situation that tests someone's ability, skill, or determination.

Unemployment Insurance Programs

Government-run programs that provide temporary financial assistance to workers who have lost their jobs through no fault of their own.