Suppose a Monopsonist Must Pay $10 Per Hour to Attract

question 26

Multiple Choice

Suppose a monopsonist must pay $10 per hour to attract 10 workers.If the same monopsonist must raise its wage to $11 per hour to attract the 11^th worker,what is its marginal factor cost for labor?

• A)$121 per hour.
• B)$21 per hour.
• C)$11 per hour.
• D)$10 per hour.