Suppose your firm is a monopsonist hiring only one variable input.If you want to maximize profits,you will purchase that variable input up to the point where the
A) cost of the input equals the profit generated by the employment of that input.
B) demand curve intersects the supply curve of the input.
C) marginal product of that input equals the price of one unit of the input.
D) wage rate is the highest.
E) MRP curve for the input intersects the marginal cost curve for the input.
Correct Answer:
Verified
Q44: FIGURE 14- 2 Q45: FIGURE 14- 6 Q46: FIGURE 14- 5 Q47: In the 1950s and 1960s,Arvida,Quebec,was basically a Q48: A typical firm hiring in a perfectly Q50: Consider a monopsonistic labour market.Ten units of Q51: One possible reason for wage differentials is Q52: The table below shows the labour Q53: The diagram below shows the supply and Q83: The three diagrams below show the supply Unlock this Answer For Free Now! View this answer and more for free by performing one of the following actions Scan the QR code to install the App and get 2 free unlocks Unlock quizzes for free by uploading documents![]()
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