Other things being constant,in a hiring scenario,the employer will continue to hire until the marginal revenue generated by the last hire is equal to the costs associated with employing that person.

Question

Quizplus · Accepted Answer

This statement is true as it reflects the concept of marginal analysis in economics. Employers will continue to hire until the marginal revenue generated by the last hire is equal to the marginal cost of employing that person, otherwise it would not be profitable for the employer to hire another employee.

Other Things Being Constant,in a Hiring Scenario,the Employer Will Continue