When the wage was $10 per hour, a group of workers supplied 30 hours of work per week on average. The wage then increased to $12 per hour, and the same group of workers supplied 33 hours of work per week on average. What is the elasticity of labor supply for this group of workers?
A. 1.0
B. 2.0
C. 1.5
D. 0
E. 0.5
Answer: E
You might also like to view...
Is faster economic growth unambiguously better?
A. No, because growth has an opportunity cost. B. No, because growth serves no useful purpose. C. Yes, because more goods and services are always better. D. Yes, because it expands the production possibilities of an economy. E. Uncertain, economic growth has no answer to this question.
Which of the following would likely result in a shift of the aggregate demand curve to the right?
A) a rise in the real interest rate B) a decrease in the quantity of money in circulation C) a decrease in job security D) a tax cut
Explain the forces that caused the savings and loan debacle in the latter half of the 1980s
What will be an ideal response?
What are the effects of a tariff on a good on various groups and on the total surplus in the country that imposes the tariff?
What will be an ideal response?