Along a backward-bending labor supply curve, the
a. income effect always dominates the substitution effect
b. substitution effect always dominates the income effect
c. substitution effect is always equal to the income effect
d. substitution effect dominates the income effect at high wage rates
e. substitution effect dominates the income effect at low wage rates
E
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Refer to the figure above. If a per-unit tax of $3 is imposed on the sale of Good X, what is the tax revenue received by the government?
A) $20 million B) $10 million C) $12 million D) $60 million
If 10 firms share the sales of the market equally, the four-firm concentration ratio is ________ percent
A) 100 B) 40 C) 10 D) 5
When the housing bubble popped, the effect of the negative demand side shock and the negative supply side shock were the same on:
A. output, causing it to definitely decrease. B. prices, causing them to definitely rise. C. output, causing it to definitely increase. D. prices, causing them to definitely fall.
In a perfectly competitive market the term "price taker" applies to
A) sellers and buyers. B) sellers but not buyers. C) buyers but not sellers. D) only the smallest sellers and buyers.