Brenda owns a construction company that employs bricklayers and other skilled tradesmen.
Brenda owns a construction company that employs bricklayers and other skilled tradesmen. Her firm’s MRP for bricklayers is $22.25 per hour for each of the first seven bricklayers, $18.50
for an eighth brick layer, and $17.75 for a ninth bricklayer. Given that she is a price taker when
hiring bricklayers, how many bricklayers will she hire if the market equilibrium wage for bricklayers is $18.00 per hour?
e. More information is required to answer this question.
2. Because a perfectly competitive employer’s MRC curve is ______________, it will hire ____________ workers than would a monoposony employer with the same MRP curve.
a. Upsloping; more.
b. Upsloping; fewer.
c. Flat; more.
d. Flat; fewer.
e. Downsloping; more.
3. True or false. When a labor market consists of a single monopsony buyer of labor interacting with a single monopoly seller of labor (such as a trade union), the resulting quantity of labor that is hired will always be inefficiently low.