To minimize cost of production at any level of output the monopsonist should continue to substitute labour and capital until

Related MCQs

• Let labour is the only variable input, a monopsonist maximizes his or her profit when
• A profit maximizing firm under a perfectly competitive market employs more and more variable input labour until
• Increase or decrease in the level of production by a monopolistically competitive firm have ------- impact on price and output decisions of other firms
• If the hourly wage is Rs.10, and the firm produces 5 additional units of the commodity with an additional hour of labour time, then marginal cost is
• At the optimum short-run level of output, the firm will be
• The short run equilibrium level of output of the monopolistic competitor is given by
• The best or optimum level of output for the pure monopolist
• The best level of output for the monopolist is
• The equilibrium level of output for a perfectly competitive marketis
• In the case of price leadership by the dominant firm all the firms in the purely oligopolistic industry will produce their best level of output