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Suppose a Monopsonist Hires Its Second Worker and This Hiring

Question 35

Multiple Choice

Suppose a monopsonist hires its second worker and this hiring has a marginal factor cost of $75 per day. If the market wage is now $62.50 per day, what was the first employee earning when she worked alone?


A) $40.
B) $45.
C) $50.
D) $55.
E) $60.

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