A monopsonist faces a market labor supply curve w=20+L where w is wage rate and L is the number of workers employed. If the firm's labor demand curve is w=200-4L, what is the optimal wage rate and quantity of labor employed?

Micro Economics For Today
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ISBN:9781337613064
Author:Tucker, Irvin B.
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Chapter11: Labor Markets
Section: Chapter Questions
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A monopsonist faces a market labor supply curve w=20+L where w is wage rate and L is the number of
workers employed. If the firm's labor demand curve is w=200-4L, what is the optimal wage rate and
quantity of labor employed?
Transcribed Image Text:A monopsonist faces a market labor supply curve w=20+L where w is wage rate and L is the number of workers employed. If the firm's labor demand curve is w=200-4L, what is the optimal wage rate and quantity of labor employed?
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