Use the Following to Answer Questions :
Scenario: the Decision

question 14

Multiple Choice

Use the following to answer questions :
Scenario: The Decision to Hire Labour
Assume that both the product market and the labour market are perfectly competitive.The price of this firm's product is $5.The firm's total product with respect to labour is given in the table that follows. $\begin{array}{llcc} \hline \text { Quantity } & \\ \text { of Labour } & \text { Quantity } \\ \text { (workers) } & \text {of Output }\\\hline 0&0\\1 &7\\2 &13\\3&18\\4&21\\\hline\end{array}$

-(Scenario: The Decision to Hire Labour) Use Scenario: The Decision to Hire Labour.Holding everything else constant,if the demand for this firm's product decreases:

• A) its value of marginal product curve shifts to the right,and it will hire more workers.
• B) its value of marginal product curve shifts to the left,and it will hire more workers.
• C) its value of marginal product curve shifts to the left,and it will hire fewer workers.
• D) the firm will not change its hiring,since it is a perfectly competitive firm.

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Definitions:

Professional Ethics

The moral principles that govern the behavior of professionals in their business and workplace activities.

Personal Perspective

An individual's viewpoint or opinion based on their personal experiences and beliefs.

Intangible Elements

Components of value that cannot be touched or physically measured, such as intellectual property, brand reputation, or goodwill.