Factor Markets

It can reduce overall employment as firms may rely more on technology than subsidized skilled workers.

It can lead to an increase in human capital and potentially shift the supply curve for skilled labor to the right.

It can result in higher wages without changing employment levels or productivity rates.

It can create a surplus of unskilled labor as workers leave those positions for training opportunities.

At the maximum possible level of production.

When the marginal cost equals marginal revenue.

When fixed costs begin to rise.

When average total costs are minimized.

Increased number of entrants causes a hike in initial pay, reflecting a greater availability of a talent pool.

No impact whatsoever, as the demographics of the job seekers are irrelevant to these types of dynamics.

Decreased competition among applicants places downward pressure on starting salaries.

Marginally affected, with slight adjustments made to compensate for the overabundance of candidates.

A firm hires as many units as possible regardless of cost or productivity.

A firm bases its decision solely on minimizing average variable costs.

A firm stops hiring when total revenue starts decreasing as additional inputs are hired.

A firm hires units up until marginal factor cost equals marginal revenue product.

When total revenue exceeds total cost

When marginal revenue product (MRP) is less than marginal resource cost (MRC)

When marginal revenue product (MRP) is greater than marginal resource cost (MRC)

When marginal revenue product (MRP) equals marginal resource cost (MRC)

An increase in the elasticity of labor due to workers being more willing to change jobs for higher wages.

An increase in the number of workers qualifying for types of jobs in the market due to education or training programs.

An increase in the marginal product of labor that lowers its value for employers.

An increase in the demand for products produced by that labor market leading to higher total revenue for firms.

The marginal revenue product exceeds wage rate

The unemployment rate in the market decreases.

The need for supervisory personnel increases.

A decrease in demand for company's goods.

Issuing tradable permits for the amount of light each household can use.

Subsidizing electricity prices to encourage private provision of street lighting.

Implementing regulations that require households to install energy-efficient lights.

Funding street lighting through taxation and providing it for free to all residents.

Increased demand for labor leading to higher wages.

Supply curve shifts leftward as immigrants increase competition for existing jobs and employers have less need to look for domestic workers.

Supply curve shifts rightward leading potentially lower equilibrium wages.

Increased demand for jobs leading to higher wages but reduced hours for individual workers.

The total revenue generated by the additional worker.

The salary paid to the current highest-earning employee.

The next best alternative use of the firm's money.

The cost of training for all employees in the firm.