A minimum wage set above the equilibrium wage will
A) create a shortage of labor.
B) create a surplus of labor.
C) have no effect because the equilibrium level of employment is not affected by a minimum wage above the equilibrium wage.
D) create a lower wage rate for skilled workers than for unskilled workers.
B
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According to the traditional Keynesian approach, a tax cut raises aggregate demand because
A) a tax cut always results in a balanced budget. B) taxes are part of the C + I + G + X line. C) taxpayers anticipate a tax increase in the future. D) disposable income available to consumers increases.
Empowerment may be a problem because
A. managers are usually ambiguous when it comes to empowerment. B. managers are usually very eager to empower those who are least qualified. C. managers are never eager to empower anyone else except themselves. D. workers are always eager to empower themselves even if they are unqualified.
Which of the following does not contribute to low farm productivity in poor nations?
A. Lack of effort. B. Limited infrastructure. C. Lack of machinery. D. Inferior technology.
The marginal cost of pollution abatement is graphically illustrated by
A. a vertical curve. B. a downward sloping curve. C. a horizontal curve. D. an upward sloping curve.