Please see the attached multipart questions and provide explanations. I am struggling so I appreciate the help!
Assume that a firm is hiring labor in a perfectly competitive labor market. 20 points If the marginal revenue product of labor is greater than the wage rate, which of the following will be true? The firm is experiencing diminishing marginal utility. The firm is maximizing its profits. The firm should replace workers with capital. The firm should employ more workers. The firm must be losing money. A profit-maximizing firm will continue to hire workers until the 20 points O marginal product of labor is equal to the price of labor O marginal product of labor is equal to the marginal factor cost of labor marginal product of labor is equal to the marginal revenue product of labor O marginal factor cost of labor is equal to the price of the good produced using labor marginal factor cost of labor is equal to the marginal revenue product of labor MacBook Pro 20 DII F7 F8 F9 F3 F4 F5 F6Assume a perfectly competitive labor market. Which of the following 20 points correctly describes the individual firm's demand curve for labor and the market demand curve for labor? O Firm Demand for Labor is downward sloping, Market Demand for Labor is downward sloping. Firm Demand for Labor is downward sloping, Market Demand for Labor is Horizontal. O Firm Demand for Labor is Horizontal, Market Demand for Labor is downward sloping Firm Demand for Labor is Horizontal, Market Demand for Labor is Horizontal Firm Demand for Labor is Horizontal, Market Demand for Labor is upward sloping. Based on the graph below, which of the following statements is true? 20 points Wage $15 $10 MFC MacBook Pro DII F2 F5 F6 F7 F8 F9 * 3 6 OoWage $15 $10 MFC MRP 0 Lo L1 Quantity of Labor O Along the firm's marginal revenue product of labor curve, the price of output falls as more labor is hired and more output is produced. From 0 units of labor to LO units of labor, there are increasing marginal returns to labor. O The profit-maximizing firm will hire its labor at less than $10 per unit. O The market wage rate is $10 per unit of labor. Hiring unit of labor LO will add $15 to a firm's economic profits. MacBook Pro DII F9 F2 20 F3 0DO F4 F5 F6 F7 F8 0 Co 6Hiring unit of labor LO will add $15 to a firm's economic profits. A profit-maximizing firm that sells its output in a perfectly competitive 20 points market hires two additional workers, calculating that the contribution to total revenue of the last worker hired just equals the extra cost of hiring that worker. Six months later, the firm finds that the last worker's contribution to total revenue is less than the extra cost of hiring that worker. Which of the following may have occurred in the interim to explain this change? O The firm negotiated new contracts with workers, lowering wages. O A technological advance increased the productivity of the firm's workforce. O The market demand for the firm's product decreased. O The market supply for the firm's product decreased. O The firm laid off some workers. Submit This form was created inside of Highland Park ISD. Report Abuse Google Forms MacBook Pro DII F9 F10 20 F5 F6 F7 F8 F4 F2 F3 * % O 8 5 O
