77 a monopsonistic employers marginal resource labor

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77. A monopsonistic employer's marginal resource (labor) cost curve: A. is always more elastic than the labor supply curve. B. coincides with the labor supply curve. C . lies below the labor supply curve because the higher wage paid to an additional worker must also be paid to all other employed workers. D . lies above the labor supply curve because the higher wage paid to an additional worker must also be paid to all other employed workers. 78. The critical feature of a monopsonistic labor market is that the employer: A. has a perfectly elastic demand curve for labor. B. can hire any number of workers it chooses at the going wage rate. C. faces an upsloping labor supply curve. D. faces a perfectly inelastic labor supply curve. 79. If a firm is a monopsonist in the hiring of both labor and capital, it will obtain the profit-maximizing quantities of labor and capital when: A. MRP L / P L = MRP C / P C = 1. B. MRP L /MRC L = MRP C /MRC C = 1. C. the MRP of labor equals the MRP of capital. D. the MRC of labor equals the MRC of capital. 80. If a firm is hiring variable resources D and F in imperfectly competitive input markets, it will maximize profits by employing D and F in such quantifies that: A. MRP D /MRC D = MRP F /MRC F = 1. B. MRP D /MRC D = MRP F /MRC F . C. MRP D / P D = MRP F / P F = 1. D. MRP D / P D = MRP F / P F . 81. If an employer is a monopsonist: A. its MRC curve will lie below its labor demand curve. B. its labor supply and MRC curves will coincide and be perfectly elastic. C. it must also be a monopolist in the product market. D. its labor supply curve will be upsloping and the MRC curve will lie above it.
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Answer the next question(s) on the basis of the following supply information for a single firm in a particular labor market: 82. Refer to the above information. This labor supply curve demonstrates that: A. the firm is selling its output under imperfectly competitive conditions. B. the firm is selling its output under purely competitive conditions. C. higher wage rates must be paid to successive workers to overcome their higher opportunity costs. D. the firm is hiring labor under purely competitive conditions. 83. Refer to the above information. The marginal resource (labor) cost of the third worker is: A. $15. B. $25. C. $35. D. $45. 84. Empirical studies suggest that, other things equal, the smaller the number of hospitals in a city, the lower are nurses' wages. This is evidence that: A. the labor markets of nurses are purely competitive. B. hospitals may possess some degree of monopsony power. C. the minimum wage does not apply to nurses. D. labor unions have been ineffective in increasing the wages of nurses. 85. If the above diagram was relevant to an individual firm, we could conclude that the firm is: A. a pure competitor in the hire of labor.
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77 A monopsonistic employers marginal resource labor cost...

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