1) A firm in a perfectly competitive labor market is employing labor where the marginal revenue product of the last unit is $30 and the marginal factor cost is $30. Based on this, the firm should

employ more units of labor

employ fewer units of labor

employ the same amount of labor

lower its offered wage for labor

increase its offered wage for labor

2)The purchase of an additional unit increases the price of the unit and of the existing units being purchased. This describes

perfect competition

monopolistic competition

an oligopoly

a monopoly

a monopsony