If a Firm Increases the Number of Workers from 32

question 111

Multiple Choice

If a firm increases the number of workers from 32 to 33 and the total wages paid rise from $112,000 to $121,000, the marginal wage of the 33^rd worker is

• A) $273.
• B) $3,667.
• C) $121,000.
• D) $9,000.

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Definitions:

Solid Silver

A term referring to objects made entirely from silver, a precious metal known for its high economic value and various uses in jewelry, tableware, and investment.

Competitively Organized

A market structure where multiple firms strive to sell similar products or services, often leading to innovation and lower prices.

Economic Profits

The difference between total revenue and total costs, including both explicit and implicit costs, representing surplus earnings above normal expectations.

Profit-Maximizing

The way in which a business figures out the best price and quantity of production for optimal profit.