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Which of the Following Is True of a Competitive Industry's

Question 55

Multiple Choice

Which of the following is true of a competitive industry's demand curve for labor?


A) The demand curve for labor will shift in the same direction as the demand for the product.
B) The industry demand is found by summing each firm's marginal value product.
C) The industry demand for labor is generally more elastic than the individual demand for labor.
D) The demand curve for labor is upward-sloping due to diminishing marginal returns.

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