Economics HW - Output vs. Input?

Question

27. When the price of the firm's output rises ____________.

the quantity of labor demanded increases and there is a movement down along the demand curve

the demand for labor increases and the demand curve shifts rightward

the quantity of labor demanded increases and the demand curve shifts rightward

the demand for labor increases and there is a movement down along the demand curve

Answer 1

The demand for labor increases and the demand curve shifts rightward.