Suppose the government grants child care subsidies to mothers entering the labor force. What is likely to happen to the equilibrium wage and quantity of labor?
A) The equilibrium wage rises and the equilibrium quantity of labor falls.
B) The equilibrium wage falls and the equilibrium quantity of labor rises.
C) The equilibrium wage and the equilibrium quantity of labor fall.
D) The equilibrium wage and the equilibrium quantity of labor rise.
B
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An economic rent is created when
(a) organized labor pushes its members' wages above those of unorganized labor. (b) market forces determine prices and output. (c) businesses take market prices as given. (d) laborers accept competitive wages.
What is owner's equity?
a. What a company owes b. What is left after the liabilities are satisfied c. What a company owns d. None of these
Which of the following are most likely to have indifference curves that are L-shaped?
A. Coke and Pepsi B. Ice cream and frozen yogurt C. A white shirt and a blue shirt D. Your textbook and its study guide
Table 28.1Reduction in Emissions (in tons)MC to Reduce Emissions by Steel PlantMC to Reduce Emissions by Paper Plant1$400$20025002803600320Refer to Table 28.1. Suppose the government allows these two firms to trade pollution permits. The most efficient transaction would result in
A. An increase in emissions by the steel plant and a reduction by the paper plant. B. A decrease in emissions by both plants. C. A reduction in emissions by the paper plant and no change for the steel plant. D. An increase in emissions by both plants.