The number of workers hired by a firm at a particular wage rate can be calculated...

The number of workers hired by a firm at a particular wage rate can be calculated if you know which of the following?

a.	c and d.
	b.	Product supply curve.
	c.	Marginal product of labor.
	d.	Marginal factor cost.
	e.	Marginal revenue product of labor.

Solutions

Expert Solution

Option e. Marginal revenue product of labor.

Explanation: Marginal revenue product of labor is calculated by multiplying the marginal product of labor with the selling price of products. A firm hires workers as long as the wage rate is lower than or equal to the marginal Marginal revenue product of labor.

Rahul Sunny answered 1 year ago

Next > < Previous

Related Solutions

How would you calculate the total profit from a number of workers hired and the wage...

How would you calculate the total profit from a number of workers hired and the wage that they are being paid?

How many workers will the firm hire if the market wage rate is $28.75?

Complete the following labor demand table for a firm that is hiring labor competitively and selling its product in a competitive market.UnitsoflaborTotalproductMarginalproductProductpriceTotalrevenueMarginalrevenueproduct01234560213853647175$3.753.753.753.753.753.753.75Complete the table above and Answer the following Question:How many workers will the firm hire if the market wage rate is $28.75? Explain why the firm will not hire a larger or smaller number of units of labor at each of these wage rates.

A firm that wants to employ workers should a. hire workers as long as the wage...

A firm that wants to employ workers should a. hire workers as long as the wage is less than the value of the marginal product. b. not hire workers if the value of the marginal product is less than the wage. c. hire workers as long as the wage is lower than the marginal profit of the last or previously hired worker. d. hire workers as long as the wage is greater than the value of the marginal product.

The wage at which exactly the desired number of workers is employed is called the: market-wage...

The wage at which exactly the desired number of workers is employed is called the: market-wage price market-compensation price market-clearing price market-balance price

An industry hires 30 workers when the wage is $20. It raises the number of workers...

An industry hires 30 workers when the wage is $20. It raises the number of workers hired to 56 when the wages fall to $10. What is the short-run elasticity of labor demand? Is the demand elastic or inelastic?

1. If the monopsony firm is a single-wage firm, then to hire more workers, the firm...

1. If the monopsony firm is a single-wage firm, then to hire more workers, the firm _____. a. must reduce wages b. must pay the new workers more c. must raise the wages of all workers d. will not change any wage 2. The local tennis stadium has a fixed number of seats for spectators. The equilibrium price to attend games for the Men's Championship is $15 and for Women's Championship is $25. Which of the following is true? a....

In the labor market the wage rate requested by workers will generally depend on workers’ expected...

In the labor market the wage rate requested by workers will generally depend on workers’ expected price Pe which is to prevail in the future, the current unemployment rate u, and a variable z that represents the unemployment benefits package. This defines the wage-setting relationship: W = PeF(u,z). At the same time, firms define the price-setting relationship: P = (1+m)W, where m is the markup of goods prices over wage rate. (1) Suppose we know the functional form F(u,z) =...

What is the BENEFIT to low wage workers (workers whose wage is near the minimum wage)...

What is the BENEFIT to low wage workers (workers whose wage is near the minimum wage) of raising the minimum wage?

Firm ABC uses two inputs, blue workers and purple workers (measured in number of workers) to...

Firm ABC uses two inputs, blue workers and purple workers (measured in number of workers) to produce output. At Firm ABC’s current input bundle, the marginal product of blue workers is two times the marginal product of purple workers. The wage for a purple worker is one third of the wage for a blue worker. Is the firm currently minimizing its cost of production?

non-wage labour costs affect the number of workers firms wish to hire.discuss three types of non-wage...

non-wage labour costs affect the number of workers firms wish to hire.discuss three types of non-wage labour costs.

Subjects