Suppose a union successfully negotiates a wage rate for its members that is above the competitive wage rate, then
A) the quantity of labor demanded will be greater than the quantity supplied.
B) the quantity of labor demanded will be less than the quantity supplied.
C) the labor market will be in equilibrium.
D) it is impossible to tell whether or not the labor market will be in equilibrium without more information.
Answer: B
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Figure 10-5
In Figure 10-5, points which lie on the firm's short-run supply curve are
a.
A, B, C.
b.
C, D, H.
c.
F, E, G.
d.
A, C, H.
The market in which households, firms and governments buy and sell national currencies is known as
A. flexible exchange rates. B. the foreign exchange market. C. standard drawing rights. D. the exchange rate.
The above figure shows a labor market with minimum wage equal to $16. In this figure, what area equals the resources lost because of job search?
A) area A B) area B C) area C D) area D E) area E
In the short run, a permanent increase in the domestic money supply
A) has stronger effects on the exchange rate and output than an equal temporary increase. B) has stronger effects only on the exchange rate but not on output than an equal temporary increase. C) has weaker effects on the exchange rate and output than an equal temporary increase. D) has stronger effects on output, but lower effect the exchange rate than an equal temporary increase. E) has weaker effects only on the exchange rate than an equal temporary increase.