Refer to the Information Provided in Figure 10

Multiple Choice

Refer to the information provided in Figure 10.3 below to answer the questions that follow. Figure 10.3
-Refer to Figure 10.3. The market wage is initially W0 and the firm is initially at Point A. Labor supply decreases from S0 to S1, if the firm does not change the amount of capital it employs, the firm will move to Point ________ to maximize profits.

A) B
B) C
C) E
D) F