Microeconomics (9th Edition) (Pearson Series in Economics)
Microeconomics (9th Edition) (Pearson Series in Economics)
9th Edition
ISBN: 9780134184241
Author: Robert Pindyck, Daniel Rubinfeld
Publisher: PEARSON
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Chapter 14, Problem 11RQ
To determine

Increase in wage rate and its effect.

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Firms will hire additional workers as long as the wage:  a) is less than the marginal product of labor. b) equals the marginal product of labor. c) is greater than the marginal product of labor. d) is less than the value of the marginal product of labor.
Alice runs a shoemaking factory that utilizes both labor and capital to make shoes. Which of the following would shift the factory’s demand for capital? You can select one or more answers from the choices shown a. Many consumers decide to walk barefoot all the time. b. New shoemaking machines are twice as efficient as older machines. c. The wages that the factory has to pay its workers rise due to an economy-wide labor shortage.
Suppose a huge scientific breakthrough doubles the output that an additional houra huge scientific breakthrough doubles the output that an additional hour of U.S. labor can produceof U.S. labor can produce.   As a​ result, there is​ ______ in the U.S. production function.   A. an upward shiftan upward shift   B. no shiftno shift   C. a downward shifta downward shift There is​ ______ in the U.S. demand for labor and​ ______ in the U.S. supply of labor.     A. a decreasea decrease​; a decreasea decrease   B. an increasean increase​; a decreasea decrease   C. no changeno change​; an increasean increase   D. an increasean increase​; no changeno change
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