Solved

The Labor Demand Curve of a Purely Competitive Seller

Question 57

Multiple Choice

The labor demand curve of a purely competitive seller


A) slopes downward because the firm must lower price to sell more output.
B) slopes downward because labor productivity increases as successive workers are hired.
C) is perfectly elastic because the firm is hiring an insignificant portion of the total labor supply.
D) slopes downward because the marginal product of successive workers declines.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions