A competitive firm hires labor until the marginal product of labor<br/>equals the ____ A: real wage. B: rental price of capital. C: price of output. D: capital/labor ratio.

In the simple circular-flow diagram, A: households own the factors of production. B: households buy all the goods and services that firms produce. C: land, labor, and capital flow from households to firms. D: All of the above are correct.

An advance in technology that increases productivity and an increase in the working-age population results in a A: rightward shift of the labor supply curve. B: rightward shift of the labor demand curve. C: rightward shift of the labor demand curve and of the labor supply curve. D: no change to the production function.

Shorter product development cycles are beneficial in an engineering world in which both capital and labor are global.

Which of the following contributes to an increase in labor productivity? A: increased consumption expenditure B: decreased investment C: increased capital stock D: All of the above contribute to an increase in labor productivity.