The distinction between market wages and marginal wages must be made because of the downward slope of the labor demand curve.
Answer the following statement true (T) or false (F)
True
The distinction between marginal wages and market wages arises from the downward slope of the labor demand curve. As wages fall, the number of workers hired increases. The marginal wage actually becomes negative at some point, and the union never wants to accept a negative marginal wage.
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Shares of stock and long-term debt, including corporate and government bonds and bank loans, are bought and sold on
A) the stock market. B) foreign exchange markets. C) capital markets. D) commodity markets.
A preference for policies that place limits on trade is called:
A. liberalization. B. free trade. C. protectionism. D. autarky.
Which of the following is most likely to increase long-run aggregate supply in an economy?
a. A decrease in the size of the labor force b. A deterioration in the quality of the labor force c. A reduction in the cost of using computers d. An increase in the price level e. An increase in aggregate demand
Social Security is described as a
a. voluntary system because people freely voted for it b. age-based premium system c. employer-based premium system d. pay-as-you-go system e. system whose revenues are generated from sales tax