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Use the Figure Below to Answer the Following Questions

Question 67

Multiple Choice

Use the figure below to answer the following questions.
Use the figure below to answer the following questions.     Figure 18.3.1 -Refer to Figure 18.3.1. This figure shows the value of marginal product of labour curve, the labour supply curve, and the marginal cost of labour curve. If this labour market is controlled by a monopsony, then the monopsonist A) pays a wage rate that is greater than the value of marginal product of labour. B) pays a wage rate exactly equal to the value of marginal product of labour. C) pays a wage rate that is less than the value of marginal product of labour. D) employs more labour hours per week than in a competitive labour market. E) pays a wage equal to the marginal cost of labour.
Figure 18.3.1
-Refer to Figure 18.3.1. This figure shows the value of marginal product of labour curve, the labour supply curve, and the marginal cost of labour curve. If this labour market is controlled by a monopsony, then the monopsonist


A) pays a wage rate that is greater than the value of marginal product of labour.
B) pays a wage rate exactly equal to the value of marginal product of labour.
C) pays a wage rate that is less than the value of marginal product of labour.
D) employs more labour hours per week than in a competitive labour market.
E) pays a wage equal to the marginal cost of labour.

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