Which of the following statements is most accurate regarding who benefits and loses from establishment of a minimum wage above the market clearing wage?
A) Individuals who obtain jobs benefit because they earn a higher wage, but some individuals lose because employers will not hire them at the minimum wage.
B) All workers benefit equally from the establishment of the minimum wage because just as many workers as before remain employed, and all earn the higher minimum wage.
C) All employers benefit equally from the establishment of the minimum wage because they are able to hire fewer workers at a lower wage.
D) All employers lose because they must pay the higher minimum wage to the same number of employees as they did before the minimum wage was established.
A
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Use the following table, which shows a firm's production, output price, and various quantities of labor (workers) employed, to answer the next question.WorkersTotal Output per DayPrice of Good210$103151041910522106241072510What is the marginal revenue product of the fifth worker?
A. $40 B. $30 C. $20 D. $10
Surpluses will help future generations more than deficits will hurt future generations due to inflation and taxes.
A. True B. False C. Uncertain
Primary dealers are those
A) permitted to trade directly with the Fed. B) who work under the account manager at the Federal Reserve Bank of New York. C) who specialize in selling bonds to small private investors. D) responsible for assuring that interest rates do not decline unless the FOMC has given specific instructions that they decline.
Which one of the following people is not a member of the labor force?
a. A full-time student who devotes all her time to her classes. b. A person who works 30 hours a week at Burger King and goes to school at night. c. The man who was fired last week and is searching for a new job. d. The President of the United States. e. A professional athlete.