Do Homework-Dominic Lachance Inee Explore ECON 202 SUMMER I 2018 E21 Dominic Lachance &1 6/26/18 Homework: Final Examination S Score: 0 of 1 p 15 of 16 (13 complete) HW Score: 68.75%, 1 Checkpoint 1 News 1 Where have America\'s jobs gone? U S companies offer many reasons for ther lack of sobust hining, including weak consumer spending Over the past year, there has boon an increase in manufacturing, transportation, and health care jobs, but not in sectors nelaled to homes and housing Source The Wall Street Joumal J Choose the correct statement Given the market wage rate and ofther things remaining the same, i A. te margrial product of labor does not change, then trms oner more jobs O B. the price of the good remains unchanged, then fiems hee more workers O C. lhe margnal product of labor increases, tmhms oner fewer pes e D. the price of the good riees and the marginal peoduct of labor decreases, then fiemes offer more jobs O E the price of the good rises, thon ims offer more jobs Click to select your answer and then cick Check Answr Clear All rch
Given the market wage rate and other things remaining constant, if the price of good rises and the marginal product of labor decreases, then firms offer more jobs. Hence the correct answer is (D). This is because now since price has increased firms would want to supply more goods. But as the marginal product of labor has decreased, it won\'t be able to supply even the earlier amount with the labor it has and thus he will hire more labor and thus offer more jobs.
Homework Sourse
