Question

Mike sells navel oranges in a market where there are a lot of other sellers and faces a perfectly elastic demand curve for oranges. he hires 10 workers in a perfectly competitive market to help him with picking oranges. given this information, it can be said that:

Answer 1

it can be said that the demand for workers is a positive function of the prevailing market wage rate.
Under the current market which had a lot of competitors with similar products, the most important factors that could improve mike position in the market is the amount of workers that could improve his customer service and productivity.