The fact that more women have chosen to work as real wages rise is evidence that, for them
a. leisure is an inferior good.
b. income and substitution effects of higher real wages work in the same direction.
c. income and substitution effects of higher real wages may work in opposite directions.
d. income and substitution effects may work in opposite directions but that the substitution effect is stronger.
d
You might also like to view...
Other things being equal, a technological change that raises the value of marginal product of capital raises the rental rate of capital because the
A) supply curve of capital shifts leftward. B) supply curve of capital shifts rightward. C) demand curve for capital shifts rightward. D) demand curve for capital shifts leftward.
If in the market for peaches the supply curve has shifted to the left
A) the quantity of peaches supplied has decreased. B) the quantity of peaches supplied has increased. C) the supply of peaches has increased. D) the supply of peaches has decreased.
Refer to the above figures. Which panel(s) represent the effect of an increase in the price level?
A) Panel A only B) Panels A and C only C) Panel D only D) none of the panels
Which of the following is most accurate about the period between the Civil War and World War I?
a. An increasing share of the U.S. population lived in rural areas. b. Unions pursued strategies of peaceful negotiation with employers. c. The average number of hours of work increased significantly during the period. d. The difference between male and female wages decreased.