The Following Figure Represents the Equilibrium in the Labor Market

The following figure represents the equilibrium in the labor market.Figure 14.4
In the figure,
MFC: Marginal Factor Cost curve
D: Demand or the Marginal Revenue Product curve
S: Supply curve
-A monopolist hiring labor in a perfectly competitive resource market is faced with a:

A) perfectly elastic demand curve for labor.
B) horizontal marginal factor cost curve.
C) perfectly inelastic demand curve for labor.
D) vertical supply curve of labor.
E) positively sloped marginal factor cost curve.

Correct Answer:

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