According to Classical economists, if the quantity of labor demanded exceeds the quantity supplied, there is a
A. surplus of labor and wages will fall.
B. shortage of labor and wages will fall.
C. shortage of labor and wages will rise.
D. surplus of labor and wages will rise.
Answer: C
You might also like to view...
In the consumption function, the real interest rate, consumer confidence, wealth, available consumer credit, and consumer debt are captured in the autonomous consumption term of the consumption function
Indicate whether the statement is true or false
Joe's income is $500, the price of food (F, y-axis) is $2 per unit, and the price of shelter (S, x-axis) is $100. Which of the following represents his budget constraint?
A) 500 = 2F + 100S B) F = 250 - 50S C) S = 5 - .02F D) All of the above.
Suppose you invest $100,000 in a new machine today, and you earn a $150,000 return in one year. What is the internal rate of return on this investment?
A) 10 percent B) 25 percent C) 50 percent D) 100 percent
If Japan is experiencing inflation and the United States is experiencing a recession, international policy coordination would be most likely to occur if it required:
A. expansionary monetary policies in both countries. B. a weakening of the dollar. C. a strengthening of the dollar. D. contractionary fiscal policies in both countries.