The existence of union wages, efficiency wages, and the minimum wage
A) raises the real wage rate above the equilibrium wage rate and raises the natural unemployment rate.
B) lowers the real wage rate below the equilibrium wage rate and creates a shortage of labor.
C) raises the real wage rate above the equilibrium wage rate and creates a shortage of labor.
D) raises the real wage rate above the equilibrium wage rate and lowers the natural unemployment rate.
E) does not have an impact on the equilibrium wage rate or on the amount of unemployment.
A
You might also like to view...
Technological progress should lead to
A) an outward (rightward) shift in the investment function. B) an unchanged investment function. C) a downward movement of the investment function. D) less saving.
Rick withdraws $500 from his savings account, keeps $100 as currency, and deposits $400 in his checking account
A. M1 increases by $400 and M2 decreases by $500. B. M1 does not change, but M2 decreases by $500. C. M1 does not change, but M2 decreases by $400. D. M1 increases by $500 and M2 does not change.
What are some of the possible ways in which we could reduce the natural rate of unemployment?
A $1,000 face value bond purchased for $965.00, with an annual coupon of $60, and 20 years to maturity has a:
A. a yield to maturity and current yield equal to 6.00%. B. a current yield equal to 6.00%. C. a coupon rate equal to 6.22%. D. a current yield equal to 6.22%.