If producers who hire labor in a competitive labor market decide to purchase the new automated machine that completes the work of 30 employees, in the short run we would expect the:
A. labor-supply curve to shift to the left and wages would rise.
B. labor-demand curve to shift to the right and wages would increase.
C. labor-supply curve to shift to the right and wages would rise.
D. labor-demand curve to shift to the left and wages would decrease.
D. labor-demand curve to shift to the left and wages would decrease.
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Gary has won a laptop in an online auction. This implies that Gary's willingness to pay for the laptop was ________
A) higher than its market price B) lower than its market price C) higher than that of the other bidders D) lower than that of at least one bidder
Francis Crawford recently received a 20 percent wage increase and desires to work less. We can conclude that at his current wage his supply of labor curve
A) has a negative slope. B) is vertical. C) has a positive slope. D) is U-shaped.
To illustrate the classical argument that "supply creates its own demand," the aggregate supply curve should be drawn:
a. downward-sloping. b. upward-sloping. c. horizontal. d. vertical.
Which of the following measures does not help promote technological progress?
(A) Reducing the scale of the market for a new product. (B) Training programs for workers. (C) Increased wages for researchers. (D) Issuing a patent to a company that invents a new product.