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In the Labour Market,a Perfectly Competitive Firm and a Monopsonist

Question 56

Multiple Choice

In the labour market,a perfectly competitive firm and a monopsonist are similar in that both


A) take the wage rate as their marginal labour cost.
B) hire the same number of workers.
C) hire up to the point where the extra revenue from,and the extra cost of,the last worker are the same.
D) face an upward-sloping labour supply curve.
E) determine the wage rate they pay.

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