Answer to Question #346924 in Microeconomics for abeni

Question

True or false

1 When the factors are independent, a change in the quantity of one factor has no effect on the MPP of the other.

2  When VMPL equals the wage rate, the VMPL curve and the demand curve for labor are identical.

3   Collusion enables the member firms to be competitive in the effort to maximize the industry's profit.

4  Under oligopoly, if only one firm is sophisticated, it becomes a leader.

5  In the Bertrand’s model equilibrium is attached when market price is greater that MC for homogenous good.

Answer 1

1. True

2. True

3. False

4. True

5. False