Suppose the current equilibrium wage rate for housekeepers is $8.60 per hour. An increase in the minimum wage to $7.50 per hour leads to
A) a surplus of housekeepers.
B) a shortage of housekeepers.
C) no change in the market for housekeepers.
D) an increase in the quantity of housekeepers supplied.
E) unemployment of housekeepers.
C
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The Shipbreakers of Alang arouse the ire of Greenpeace because of
A) India's non-repentant nuclear stance. B) India's import-competing industrialization policies. C) the difficulty of avoiding ship accidents between Greenpeace's sailboat and the reconstructed Container ships of Alang. D) the large amount of pollution associated with the operations at Alang. E) their competition with capital-intensive industries.
If the demand for oranges is written as Q = 100 - 5p, then the inverse demand function is
A) Q = 5p - 100. B) Q = 20 - .2p. C) p = 20 - 5Q. D) p = 20 - .2Q.
A movement along the production possibilities curve would imply that
A) the labor force has grown. B) productivity has increased. C) society has chosen a different set of outputs. D) productivity has declined because workers are demanding more leisure.
The latest news report stated that the housing market is making a comeback and that house prices are on the rise. This information is likely to:
A. increase demand for houses now due to a change in expectations of future prices. B. decrease demand for houses now due to a change in expectations of future prices. C. have no effect on the current housing market, but will increase demand in the future. D. have no effect on the current demand for housing, but will decrease current supply.