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An Improvement in Managerial Efficiency in a Fortune 500 Corporation

Question 51

Multiple Choice

An improvement in managerial efficiency in a Fortune 500 corporation increases the marginal revenue product of all people working for the corporation.Assuming that the wage of workers who are hired in a competitive labor market remains constant,the company will


A) fire some workers.
B) hire some workers.
C) neither increase nor decrease the number of workers employed.
D) shut down unless it can lower wages.

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