The idea that paying higher wages attracts a more talented labor pool is called the
a. winner's curse
b. efficiency wage theory
c. marginal productivity theory
d. lemons problem
e. theory of the second best
B
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Markets in which funds are transferred from those who have excess funds available to those who have a shortage of available funds are called
A) commodity markets. B) fund-available markets. C) derivative exchange markets. D) financial markets.
Since World War II, the average length of recessions in the United States has been:
a. 2 months. b. 11 months. c. 2 years. d. 3 1/2 years.
The term "saving" is a flow concept while the term "savings" is a stock concept
a. True b. False Indicate whether the statement is true or false
Refer to the data provided in Table 10.3 below to answer the following question(s).
Table 10.3 
Refer to Table 10.3. If workers are paid $600 per day, then the firm is profit maximizing when it hires ________ workers.
A. two B. three C. four D. five