In Mexico, many garment or tailoring shops found they could entice many young people to work for them if they offered clean, air-conditioned work areas with high-quality locker rooms to clean up in after the workday. Typically, traditional garment shops had to offer ________ to get workers to apply for the hard, repetitive, and somewhat dangerous work.
A. compensating differentials
B. benchmark competitive wages
C. monopoly wages
D. wages based on human capital development of each employee
Answer: A
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A decrease in disposable income will:
a. shift the consumption function upward b. shift the consumption function downward. c. cause an upward movement along the consumption function. d. cause a downward movement along the consumption function. e. make the consumption function flatter.
Other things the same, an increase in aggregate demand reduces unemployment and raises inflation in the short run
a. True b. False Indicate whether the statement is true or false
Consider the IS-LM curves for an economy with flexible exchange rates. An increase in the foreign income will result in the:
A) LM curve shifting to the right. B) IS curve shifting to the right. C) LM curve shifting to the left. D) IS curve shifting to the left.
?Which of the following is not true about the U.S. trade balance since 1979?
a. The balance of trade has been in deficit.
b. During recessions the balance has usually been flat.
c. The balance of trade has been in surplus.
d. When the economy expanded, the demand for imports increased.
e. When the economy expanded, the trade balance worsened.