Markets for Factors of Production - LOS b ～ Q1 style, white, black, class

mayanfang1

Q1、A labor market analyst makes the following assertions about trends in labor income:

Statement 1: The net effect of technological improvements has been to increase the demand for labor. This can be seen in the long-run increase in real wage rates.

Statement 2: The broadest measure of labor income is total wages, salaries, and tips received.

With respect to these statements:

A)   only statement 2 is incorrect.

B)   both are incorrect.

C)   only statement 1 is incorrect.

Q2、A firm's demand for labor and a firm's demand for physical capital is respectively more elastic in the:

A)   long run; long run.

B)   short run; short run;

C)   short run; long run.

Q3、An industrial economist is evaluating the supply and demand conditions for two different factors of production.

Factor 1: The demand curve is derived from the resource’s marginal revenue product in the current period.

Factor 2: The supply curve is perfectly inelastic and the price is determined by demand.

Which of the following choices most likely identifies these two factors of production?

          Factor 1                                          Factor 2

 

A)   Labor                                     Non-renewable resource

B)   Labor                                     Renewable resource

C)   Machinery                            Renewable resource

kepei7763

thx

scuwjy

thx

kinan

thanks

danforth

d

jingh1981

thx

xwsh0325

d

seraphiris0116

thanks

yamimiyato

4

jolininmn

3