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One Reason That Firms Hire Labour at the Point Where

Question 80

Multiple Choice

One reason that firms hire labour at the point where w = MPN is


A) if w < MPN,the cost (w) of hiring additional workers exceeds the benefits (MPN) of hiring them,so they should hire fewer workers.
B) if w > MPN,the cost (w) of hiring additional workers is less than the benefits (MPN) of hiring them,so they should hire more workers.
C) if w < MPN,the cost (w) of hiring additional workers equals the benefits (MPN) of hiring them,so they have the right number of workers.
D) if w > MPN,the cost (w) of hiring additional workers exceeds the benefits (MPN) of hiring them,so they should hire fewer workers.

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