You observe that more labor is employed and the wage rate increases. This set of events could have been the result of a
A) rightward shift of the labor demand curve.
B) leftward shift of the labor supply curve.
C) rightward shift of the labor supply curve.
D) leftward shift of the labor demand curve.
A
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The farther the Lorenz curve from the line of perfect equality, the lower is the income inequality
a. True b. False Indicate whether the statement is true or false
Suppose that Venezuela experiences significant capital outflows after a recent election. If the nation had fixed exchange rates, what effect would these flows have had on Venezuela's overall balance and reserves account?
a. Overall balance would rise and reserves account would fall. b. Overall balance would not change and reserves account would fall. c. Overall balance would fall and reserves account would rise. d. Overall balance would fall and reserves account would fall. e. Overall balance would fall and reserves account would rise.
The bonding critique criticizes the model of efficiency wages because
A. workers do not know how well the firm can monitor worker effort. B. firms cannot issue bonds to pay for labor costs. C. profit-maximizing firms should never be willing to pay more than the competitive wage. D. worker effort is unrelated to wages. E. workers should be willing to give the firm collateral that the firm would keep if the firm ever caught the worker shirking, and in exchange the worker would be willing to work for a wage less than the efficiency wage.
Disinflation occurs when
A. the rate of inflation rises. B. the rate of inflation declines. C. the price level declines. D. the price level stays the same.