An Increase in a Perfectly Competitive Firm's Demand for Labour

question 3

Multiple Choice

An increase in a perfectly competitive firm's demand for labour could be caused by

• A) a decrease in the market wage rate.
• B) an increase in the amount of human capital among the labour force.
• C) an increase in the supply of labour.
• D) a decrease in the market price of the product the firm produces.

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Definitions:

Myelin Sheath

The fatty layer that covers and insulates axons of many neurons, facilitating the rapid transmission of nerve impulses.

PNS

Abbreviation for Peripheral Nervous System, which encompasses all the nerves outside the brain and spinal cord and connects the CNS to the limbs and organs.

CNS

Stands for Central Nervous System, which includes the brain and spinal cord, responsible for processing and sending out information throughout the body.

Blood-Brain Barrier

A protective mechanism that controls the passage of substances from the bloodstream into the brain tissue.