Which of the following is not correct? In a labor market, the wage adjusts to balance the supply and demand for labor. A profit-maximizing firm hires workers so long as the wage rate exceeds the value of the marginal product of I Any event that changes the supply or demand for labor must change the equilibrium wage. Any event that changes the supply or demand for labor must change the value of the marginal product.

Micro Economics For Today
10th Edition
ISBN:9781337613064
Author:Tucker, Irvin B.
Publisher:Tucker, Irvin B.
ChapterP3: Market Structure
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Which of the following is not correct?
In a labor market, the wage adjusts to balance the supply and demand for labor.
A profit-maximizing firm hires workers so long as the wage rate exceeds the value of the marginal product of labor.
Any event that changes the supply or demand for labor must change the equilibrium wage.
Any event that changes the supply or demand for labor must change the value of the marginal product.
Transcribed Image Text:Which of the following is not correct? In a labor market, the wage adjusts to balance the supply and demand for labor. A profit-maximizing firm hires workers so long as the wage rate exceeds the value of the marginal product of labor. Any event that changes the supply or demand for labor must change the equilibrium wage. Any event that changes the supply or demand for labor must change the value of the marginal product.
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