An increase in the price of labor will,in the short-run,cause a competitive firm's
A) marginal cost to increase,the quantity it sells to decrease and therefore reduce the quantity demand of labor.
B) price of its output to increase,leaving demand for labor unchanged.
C) marginal revenue product of labor to decrease and therefore reduce demand for labor.
D) marginal revenue product of labor to increase and therefore increase demand for labor.
Correct Answer:
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