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Mairoon Mairoon
wrote...
Posts: 850
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7 years ago
If a monopolist in the output market purchases its monopoly supplier of labor, consumers benefit.
True or False? Provide an explanation.
Textbook 
Microeconomics

Microeconomics


Edition: 6th
Author:
Read 66 times
2 Replies

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Replies
wrote...
7 years ago
True ... Because The firm now pays a competitive price for its labor instead of the monopoly price. This lower wage shifts the firm's marginal cost curve downward. The result is a lower price charged to consumers.
Mairoon Author
wrote...
6 years ago
Perfect
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