The demand for a productive resource, not for its own sake, but for use in the production of goods and services is called a _______________.

goods and services demand
production demand
derived demand
resource demand

Marginal revenue product is the ________________ when one additional unit of a labor is employed, all other things remaining the same.

change in marginal revenue
change in total revenue
total revenue
marginal revenue

The firm's demand for labor is derived from __________.

the firm's marginal cost
labor's marginal revenue product
the firm's marginal revenue
labor's cost

To maximize profit, a firm hires the quantity of labor that makes the ______________________.

marginal product of labor equal to its marginal revenue
marginal revenue product of labor equal to the wage rate
marginal product of labor equal to the total labor cost
total revenue from labor equal to the total cost of labor

People allocate their time between ___________________.

sleep, work, and supplying labor
supplying labor and doing all sorts of other things
sleep and work
labor and work

A household's reservation wage is the ___________________________.

wage rate at which the household's income is largest
lowest wage rate at which the household will supply labor
wage at which the household's labor supply curve bends backward
wage rate at which the household's income equals the costs of working

The net present value of capital is equal to its _____________________________.

future flow of marginal revenue product
future flow of marginal revenue product minus its cost
marginal revenue product minus its cost
future flow of marginal revenue minus its cost

The supply of capital is the relationship between the quantity of capital supplied and the _______________, other things remaining the same.

price in dollars
interest rate
price level
rental rate

_______ natural resources are resources that can be used repeatedly, and _______ natural resources are resources that can be used only once.

Non-fossil; fossil
Nonexhaustible; exhaustible
Exhaustible; nonexhaustible
Renewable; hydrocarbon

The income received by the owner of a productive resource that exceeds the amount that the owner requires to induce it to offer the resource for use is called ______________.

opportunity cost
economic rent
the wage rate
the rental rate

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