A skill-biased technological change is likely to:
A) increase the wage of skilled labor.
B) increase the wage of unskilled labor.
C) decrease the demand for skilled labor.
D) increase the marginal productivity of unskilled labor.
A
You might also like to view...
Which of the following is included in the M1 money supply?
A) Bonds B) Credit cards C) Gold D) Deposits in checking accounts E) All of the above.
When the survivorship method of cost estimating is used, an increase, over time, in the proportion of industry product produced by medium size firms indicates the existence of
A) continuing economies of scale. B) continuing diseconomies of scale. C) a U-shaped long-run average cost curve. D) large technological changes.
A decrease in price:
A. causes a decrease in total revenue due to the quantity effect. B. causes an increase in total revenue due to the price effect. C. does not cause a quantity effect when demand is perfectly inelastic. D. does not change quantity demanded if demand is elastic.
During the recession of 2008-2009, the length of time qualified workers were permitted to draw unemployment benefits was increased from 26 to up to 99 weeks. Economic theory indicates that this extension would
a. reduce the opportunity cost of job search and lead to longer spells of unemployment. b. increase the opportunity cost of job search and lead to shorter spells of unemployment. c. reduce the long-term rate of unemployment. d. increase the current supply of labor and make it easier for employers to hire workers.