Help with economics please!?

Posted on 2014-12-18 06:50:00 in Economics by MAX

Multiple Choice

 

1. If a perfectly competitive firm chooses the level of output so that price equals marginal revenue, then it is also true that at that output level the value of the marginal product of labor will equal the wage rate.



a) False

b) True



2. As stock prices rise and workers wealth increases, workers will increase the quantity supplied of labor because they will want to buy more stock.



a) False

b) True



3. In the United States, payments to labor account for:



a) 70% of total income, a share that has not fluctuated much in the past 30 years.

b) 90% of income and can be broken down into human capital and physical capital.

c) 50% of total income, but the returns to land have been increasing.

d) only 30% of total income, and this number is falling.



4. A new teacher often makes less than a teacher with 20 years experience because of:



a) efficiency wages.

b) differences in human capital.

c) differences in physical capital.

d) discrimination.



5. Which of the following does not partially explain wage differentials?



a) differences in talent

b) different amounts of human capital

c) compensating differentials

d) differences in capital

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