Which of the following is not the result of wage stickiness in an economic downturn?
A. Actual wages are temporarily above the market-clearing level.
B. A shortage of labor.
C. A surplus of labor.
D. Cyclical unemployment.
Answer: B
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Rational slave owners had economic incentive to adequately clothe, feed and care for their slaves
Indicate whether the statement is true or false
Which of the following goods is likely to have an income elasticity of demand that is less than zero?
a. A luxury yacht b. A beach house c. A state-of-the-art cellular phone d. A box of generic macaroni and cheese dinner e. A dinner at a French restaurant
A short run equilibrium:
a. Will be at a greater output level than the natural level of real output. b. Will be at the natural level of real output c. Will be at a smaller output level than the natural level of real output. d. Short-run equilibrium could be at any of the above levels of output.
Consumers are often a primary source of discrimination in labor markets
a. True b. False Indicate whether the statement is true or false