-(Exhibit: Demand and Supply of Bricklayers in a Perfectly Competitive Labor Market) If the price (wage) of bricklayers is $100 per day, that price was determined by: A) the firm hiring the bricklayers. B) demand and supply in the market for bricklayers. C) the government. D) where MRP_BRICKLAYERS = MP_BRICKLAYERS x P of output.

Question

Quizplus · Accepted Answer

In a perfectly competitive labor market, the wage (price) of labor, such as bricklayers, is determined by the intersection of demand and supply for that labor in the market, not by individual firms, the government, or specific equations related to marginal product or output prices.