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A Firm Operating in a Purely Competitive Labor Market Has

Question 115

Multiple Choice

A firm operating in a purely competitive labor market has the marginal revenue product schedule shown in the table. A firm operating in a purely competitive labor market has the marginal revenue product schedule shown in the table. If the wage rate decreases from $19 to $13, by how much will the firm expand employment? A) 5 workers B) 4 workers C) 2 workers D) 3 workers If the wage rate decreases from $19 to $13, by how much will the firm expand employment?


A) 5 workers
B) 4 workers
C) 2 workers
D) 3 workers

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