Exhibit 11-12 -Exhibit 11-12 Depicts a Single Firm Hiring Labor in a Labor

Exhibit 11-12
-Exhibit 11-12 depicts a single firm hiring labor in a perfectly competitive labor market. Initially, the marginal revenue product of labor is represented by MRP₁ and the firm operates at point D. Suppose there is an decrease in the market price of the product produced by labor, which point depicts the likely impact on this firm in their hiring decision?

A) point C
B) point E
C) point A
D) point D
E) cannot tell from the information provided