For a monopsony, the marginal cost of labor exceeds the wage rate because the firm must increase the wage it pays to all of its workers if it wishes to increase its employment.
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Q356: Why does an increase in the minimum
Q357: Q358: Why does a profit-maximizing firm hire labor Q359: What factors shift the demand for labor Q360: What effect does an increase in the Q362: One reason unions might support an increase Q363: If a monopsony paid its workers a Q364: An increase in the price of a Q365: With respect to labor supply, the income Q366: The marginal product of labor equals the
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