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; after the firm is fully able to adjust all inputs, the firm will hire ________ units of labor to maximize profits.

A) I0
B) I1
C) I2
D) I3