Question 1

What is the firm's marginal-revenue product of labor?

Accepted Answer

A)    
B)    
C)    
D)  MRP = 3/L 
E)  MRP = 20 
A)    
B)    
C)    
D)  MRP = 3/L 
E)  MRP = 20

Question 2

Which of the following statements is true?

Accepted Answer

A)  In terms of the real wage,a competitive firm's MP of labor is less than its labor demand. 
B)  In terms of the real wage,a competitive firm's MP of labor is greater than its labor demand. 
C)  In terms of the real wage,a competitive firm's MP of labor is equal to its labor demand. 
D)  In terms of the nominal wage,a monopolist's MRP of labor is equal to its labor demand. 
E)  In terms of the nominal wage,a monopolist's MRP of labor is greater than its labor demand. 
A)  In terms of the real wage,a competitive firm's MP of labor is less than its labor demand. 
B)  In terms of the real wage,a competitive firm's MP of labor is greater than its labor demand. 
C)  In terms of the real wage,a competitive firm's MP of labor is equal to its labor demand. 
D)  In terms of the nominal wage,a monopolist's MRP of labor is equal to its labor demand. 
E)  In terms of the nominal wage,a monopolist's MRP of labor is greater than its labor demand.

Question 3

Which of the following is a feasible choice variable,in the short run,for a grocery store?

Accepted Answer

A)  increasing the price of bananas to $50 a pound 
B)  hiring 50 workers who are 10 years old,in violation of federal child labor laws 
C)  laying off 5 cashiers 
D)  building an addition to the store to add 10 more aisles 
E)  adding a bakery,which requires buying ovens and other equipment 
A)  increasing the price of bananas to $50 a pound 
B)  hiring 50 workers who are 10 years old,in violation of federal child labor laws 
C)  laying off 5 cashiers 
D)  building an addition to the store to add 10 more aisles 
E)  adding a bakery,which requires buying ovens and other equipment

Question 4

A monopolist in the product market will most likely

Accepted Answer

A)  hire the same number of workers as the competitive market at the same wage. 
B)  hire the same number of workers as the competitive market at a lower wage. 
C)  hire the same number of workers as the competitive market at a higher wage. 
D)  hire fewer workers than the competitive market. 
E)  hire more workers than the competitive market. 
A)  hire the same number of workers as the competitive market at the same wage. 
B)  hire the same number of workers as the competitive market at a lower wage. 
C)  hire the same number of workers as the competitive market at a higher wage. 
D)  hire fewer workers than the competitive market. 
E)  hire more workers than the competitive market.

Question 5

What is the equilibrium level of employment for a monopsonist?

Accepted Answer

A)  30 workers 
B)  50 workers 
C)  60 workers 
D)  80 workers 
E)  90 workers 
A)  30 workers 
B)  50 workers 
C)  60 workers 
D)  80 workers 
E)  90 workers

Question 6

Imposing a minimum wage

Accepted Answer

A)  will always increase the monopsonist's employment level. 
B)  will always increase the wage a monopsonist pays. 
C)  will always reduce the marginal cost of labor for a monopsonist. 
D)  will always increase the wage in a competitive market. 
E)  can reduce the monopsonist's demand for labor if the wage is set too high. 
A)  will always increase the monopsonist's employment level. 
B)  will always increase the wage a monopsonist pays. 
C)  will always reduce the marginal cost of labor for a monopsonist. 
D)  will always increase the wage in a competitive market. 
E)  can reduce the monopsonist's demand for labor if the wage is set too high.

Question 7

A firm sells its output in the market and buys its inputs from the and markets.

Accepted Answer

A)  capital equipment,product,labor 
B)  labor,product,factor 
C)  factor,product,labor 
D)  factor,capital equipment,labor 
E)  product,capital equipment,labor 
A)  capital equipment,product,labor 
B)  labor,product,factor 
C)  factor,product,labor 
D)  factor,capital equipment,labor 
E)  product,capital equipment,labor

Question 8

Which of the following is not a constraint for McDonald's?

Accepted Answer

A)  The federal government increases the minimum wage. 
B)  Each store needs a deep fryer to cook French fries. 
C)  A news report increases awareness of childhood obesity,which decreases the number of fast food patrons. 
D)  The CEO decides to add an additional store in New York City. 
E)  Like many companies,there is an information asymmetry when hiring a new employee. 
A)  The federal government increases the minimum wage. 
B)  Each store needs a deep fryer to cook French fries. 
C)  A news report increases awareness of childhood obesity,which decreases the number of fast food patrons. 
D)  The CEO decides to add an additional store in New York City. 
E)  Like many companies,there is an information asymmetry when hiring a new employee.

Question 9

What is the equilibrium wage rate for a monopsonist?

Accepted Answer

A)  $20 
B)  $30 
C)  $50 
D)  $80 
E)  $90 
A)  $20 
B)  $30 
C)  $50 
D)  $80 
E)  $90

Question 10

What is the restaurant's accounting profit?

Accepted Answer

A)  $50 
B)  $150 
C)  $200 
D)  $300 
E)  $350 
A)  $50 
B)  $150 
C)  $200 
D)  $300 
E)  $350

Question 11

If one seller can set the price in the market,

Accepted Answer

A)  the seller has monopolist power. 
B)  the seller has monopsony power. 
C)  the seller is a price taker. 
D)  the seller is operating in a perfectly competitive market. 
E)  the seller is operating in an oligopoly. 
A)  the seller has monopolist power. 
B)  the seller has monopsony power. 
C)  the seller is a price taker. 
D)  the seller is operating in a perfectly competitive market. 
E)  the seller is operating in an oligopoly.

Question 12

If the marginal product of labor is ,then output will as labor increases.

Accepted Answer

A)  negative,decreases 
B)  positive,decreases 
C)  positive,stay the same 
D)  negative,stay the same 
E)  negative,increases 
A)  negative,decreases 
B)  positive,decreases 
C)  positive,stay the same 
D)  negative,stay the same 
E)  negative,increases

What is the firm's marginal-revenue product of labor?

Which of the following statements is true?

Which of the following is a feasible choice variable,in the short run,for a grocery store?

A monopolist in the product market will most likely

What is the equilibrium level of employment for a monopsonist?

Imposing a minimum wage

A firm sells its output in the market and buys its inputs from the and markets.

Which of the following is not a constraint for McDonald's?

What is the equilibrium wage rate for a monopsonist?

What is the restaurant's accounting profit?

If one seller can set the price in the market,

If the marginal product of labor is ,then output will as labor increases.

Introduction

The Uslabor Market

The Supply of Labor

Human Capital

On-The-Job Training

Competitive Equilibrium

Policy Application: the Minimum Wage

Policy Application: the War on Poverty

Death and Injury in the Usworkplace-A Hedonic Analysis

Discrimination I: Theory

Discrimination Ii: Evidence and Policy

The Hiring Process

Incentives

Tasks,technologies,and Organizational Design

Careers and the Employment Relation

The Long Run Demand for Labor and Adjustment Costs

Filters

Exam 3: The Short Run Demand for Labor

What is the firm's marginal-revenue product of labor?

Which of the following statements is true?

Which of the following is a feasible choice variable,in the short run,for a grocery store?

A monopolist in the product market will most likely

What is the equilibrium level of employment for a monopsonist?

Imposing a minimum wage

A firm sells its output in the market and buys its inputs from the and markets.

Which of the following is not a constraint for McDonald's?

What is the equilibrium wage rate for a monopsonist?

What is the restaurant's accounting profit?

If one seller can set the price in the market,

If the marginal product of labor is ,then output will as labor increases.

Introduction

The Uslabor Market

The Supply of Labor

Human Capital

On-The-Job Training

Competitive Equilibrium

Policy Application: the Minimum Wage

Policy Application: the War on Poverty

Death and Injury in the Usworkplace-A Hedonic Analysis

Discrimination I: Theory

Discrimination Ii: Evidence and Policy

The Hiring Process

Incentives

Tasks,technologies,and Organizational Design

Careers and the Employment Relation

The Long Run Demand for Labor and Adjustment Costs

Filters