Competitive market economics question?

D

Dareni Sizlo

New member
Q) The market for widgets is perfectly competitive if there is a reduction in the wages paid to workers in this industry, in the short run:

a) total revenue will increase if demand is unit elastic
b) total revenue will increase if demand is inelastic
c) consumer surplus will decrease
d) total revenue will be unchanged
e) None of the above

Answers appreciated
Thanks
 
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