In a labor market diagram, the point at which the labor supply curve crosses the labor demand curve is
a. the point at which all workers are employed at the salary at which they would prefer to be employed
b. the point at which all jobs are filled at the wage employers prefer to pay
c. the point at which everyone who wants to work is able to find a job
d. a point at which we have excess labor supply, causing unemployment
e. the point at which excess demand for labor drives the wage rate upward
C
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Goods and services bought domestically but produced in other countries are referred to as
A) exports. B) imports. C) transfer payments. D) foreign consumption.
The voices of business and industry are less likely to influence government policy than the voices of consumers in the HPAE
Indicate whether the statement is true or false
When individuals are debating whether to supply labor, they think about all of the following except:
A. the cost in terms of forgone leisure. B. the benefit of more income for each hour worked. C. whether the benefits outweigh the costs. D. the level of profits they bring to the firm.
If all firms have the same costs of production, then in long-run equilibrium,
a. price exceeds average total cost for all firms. b. price exceeds marginal cost for all firms. c. some firms may earn positive economic profits. d. all firms have zero economic profits and just cover their opportunity costs.