Exhibit 11.2

-Refer to Exhibit 11.2,which shows the labor market.The vertical axis measures wage in dollars,and the horizontal axis measures labor in hours.Which unit of the resource is earning the highest economic rent?
A)the fifth unit
B)the tenth unit
C)the fifteenth unit
D)the twentieth unit
E)the thirtieth unit

Question

Exhibit 11.2
 
-Refer to Exhibit 11.2,which shows the labor market.The vertical axis measures wage in dollars,and the horizontal axis measures labor in hours.Which unit of the resource is earning the highest economic rent?
A)the fifth unit 
B)the tenth unit 
C)the fifteenth unit 
D)the twentieth unit 
E)the thirtieth unit

Quizplus · Accepted Answer

The first units of a resource typically earn the highest economic rent because they are the most productive or have the highest value, leading to higher wages.

Exhibit 11.2 -Refer to Exhibit 11.2,which Shows the Labor Market.The Vertical Axis