Which of the following will NOT lead to a change in the demand for labor?
A) a change in demand for the final good
B) a change in the supply of labor
C) a change in the price of a substitute input
D) a change in labor productivity
Answer: B
You might also like to view...
Induced expenditure is any expenditure that
A) is fixed for all price levels. B) is fixed for all levels of real GDP. C) changes when real GDP changes. D) changes when the interest rate changes. E) is fixed for all levels of the interest rate.
If the nominal interest rate is higher than the real interest rate, then inflation must be:
A. zero. B. higher than the nominal rate of interest. C. positive. D. negative.
The experience of the 1970s and 1980s suggests that the cost of engaging in the process of disinflation is that
A. exports must increase. B. deflation must occur. C. nominal interest rates will be expected to increase. D. unemployment will most likely increase.
If the absolute price elasticity of demand for automobiles is equal to 1.25, we say
A. that there is no responsiveness of quantity demanded to automobiles price cuts. B. that demand is elastic. C. that demand is inelastic. D. none of these is correct.