According to the textbook, proponents of minimum wage laws assume that
A. the supply curve for unskilled workers is downward sloping.
B. the demand curve for unskilled workers is nearly horizontal.
C. the supply curve for unskilled workers is upward sloping.
D. the demand curve for unskilled workers is nearly vertical.
Answer: D
You might also like to view...
Which of the following best describes efficiency in the demand and supply model?
a. The economy is receiving as much benefit as possible from its scarce resources and all the possible gains from trade have been achieved. b. The economy is receiving as much benefit as possible from its scarce resources but not achieving all the possible gains from trade. c. The economy is not receiving as much benefit as possible from its scarce resources but is getting all the possible gains from trade. d. The economy is not receiving as much benefit as possible from its scarce resources and not achieving all the possible gains from trade.
Sam has no job but keeps applying to get a job with a business that is unionized. He is qualified and he finds the pay attractive, but the firm is not hiring. Sam is
a. structurally unemployed. Structural unemployment exists even in the long run. b. structurally unemployed. Structural unemployment does not exist in the long run. c. frictionally unemployed. Frictional unemployment exists even in the long run. d. frictionally unemployed. Frictional unemployment does not exist in the long run.
Businesses have two types of cost: fixed and variable.
Answer the following statement true (T) or false (F)
The marginal revenue product of labor is the:
A. change in labor necessary to produce an additional unit of output. B. cost of additional labor necessary to produce an additional unit of output. C. change in output resulting from adding an additional unit of labor. D. change in revenue resulting from adding an additional unit of labor.