71.
Assume that the product price is $4 per unit and that the hourly wage for workers is $12. Neither price nor
wage changes with output. In Table 30.1, how many workers should be hired?
72.
Table 30.2 shows how many hairstyling appointments a hair salon can schedule per week based on the
number of stylists. In the spaces provided, compute the marginal physical product (MPP) of the hair stylists,
total revenue, and marginal revenue product of the stylists, assuming that a hair stylist charges $60 per
appointment. What is the marginal physical product of the fourth hairstylist?
73.
Table 30.2 shows how many hairstyling appointments a hair salon can schedule per week based on the
number of stylists. In the spaces provided, compute the marginal physical product (MPP) of the hair stylists,
total revenue, and marginal revenue product of the stylists, assuming that a hair stylist charges $60 per
appointment. In Table 30.2, suppose a hairstylist is paid $600 per week. How many hairstylists should a
profit-maximizing salon hire?
74.
Table 30.2 shows how many hairstyling appointments a hair salon can schedule per week based on the
number of stylists. In the spaces provided, compute the marginal physical product (MPP) of the hair stylists,
total revenue, and marginal revenue product of the stylists, assuming that a hair stylist charges $60 per
appointment. What is the marginal revenue product of the second hairstylist?
75.
Table 30.2 shows how many hairstyling appointments a hair salon can schedule per week based on the
number of stylists. In the spaces provided, compute the marginal physical product (MPP) of the hair stylists,
total revenue, and marginal revenue product of the stylists, assuming that a hair stylist charges $60 per
appointment. In Table 30.2 suppose a hairstylist is paid $700 per week. How many hairstylists should a profit–
maximizing salon hire?
76.
Table 30.2 shows how many hairstyling appointments a hair salon can schedule per week based on the
number of stylists. In the spaces provided, compute the marginal physical product (MPP) of the hair stylists,
total revenue, and marginal revenue product of the stylists, assuming that a hair stylist charges $60 per
appointment. In Table 30.2, as more stylists are hired,
77. If the number of employers for a particular type of labor increases, which of the following shifts should occur in
the labor market for the particular type of labor?
A. Demand for labor should shift to the left.
78. If the number of available workers of a particular type increases, which of the following shifts should occur in
the labor market for the particular type of labor?
A. Demand for labor should shift to the left.
79. Other things being equal, which of the following would increase the market demand for
80. All of the following are true at the equilibrium wage in a competitive market except
81. Which of the following is true about the equilibrium market wage?
82. If the demand for hair gel increases, the effect on the hair gel manufacturing job market will be to
A. Increase the demand for labor and increase equilibrium wages.
83. If the demand for alarm clocks decreases, the effect on the alarm clock job market will be to
A. Increase the demand for labor and increase equilibrium wages.
84. When there are more qualified applicants than job openings, this indicates that the
A. Economy must be in a recession.
85. When people are standing in line for jobs and there are more applicants than jobs, then the labor market
is characterized by a
86. Which of the following is not consistent with a minimum wage that is set above the equilibrium wage?
A. A labor surplus will result.
87. For a minimum wage to have any impact on a labor market, it must be set at a level
A. Higher than the equilibrium wage.
88. When the minimum wage is raised in a competitive market, ceteris paribus,
89.
In Figure 30.2, the equilibrium wage rate is
90.
In Figure 30.2, unemployed labor at the equilibrium wage is equal to
91.
In Figure 30.2, a minimum wage of $20 will result in a
92.
In Figure 30.2, a minimum wage of $12 will result in
93.
The number of people employed in the competitive market depicted in Figure 30.2 at a wage of $20.00 per
hour is
94. Ceteris paribus, all of the following result when the minimum wage is raised and is above the equilibrium in a
competitive market, except
95. Democrats argue that labor demand is _______, so ________ jobs will be lost when the minimum wage is
raised.
96. Republicans argue that labor demand is _______, so ________ jobs will be lost when the minimum wage
is raised
A. inelastic; few
97. If there is an increase in immigration into a specific labor market, then
98. Cost efficiency refers to the
A. Amount of output associated with an additional dollar spent on input.
99. The cost efficiency of labor is equal to the
A. Marginal cost of output.
100. If the price for a box of kiwis is $40, the wage rate for kiwi laborers is $10 per hour, and a laborer can pick
3 boxes of kiwis per hour, the
A. MRP is $30 per hour.
101. If the cost efficiency of labor equals 2, then
A. Labor costs 100 percent more than the revenue it generates.
102. Suppose that Silvia’s Dance Studio uses both labor and capital to teach dance lessons. Given her current mix
of labor and capital, the cost efficiency of labor is 1 dance lesson per dollar, and the cost efficiency of capital is
5 dance lessons per dollar. Silvia should
103. A production process is defined as
104. The efficiency decision involves choosing the input combination or process that
105.
Assume that the product price is $4 per unit and that the hourly wage for workers is $12. Neither price nor
wage changes with output. In Table 30.3, the marginal physical product of the third worker hired is
106.
Assume that the product price is $4 per unit and that the hourly wage for workers is $12. Neither price nor
wage changes with output. In Table 30.3, the marginal revenue product of the second worker hired is