Meredith receives a wage hike. If Meredith decides to work an extra hour
A) her reservation wage rate exceeds her value of marginal product.
B) her opportunity cost of leisure is high.
C) her substitution effect is greater than her income effect.
D) she operates on the backward-bending portion of her labor supply curve.
C
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Francis Crawford recently received a 20 percent wage increase and desires to work less. We can conclude that at his current wage his supply of labor curve
A) has a negative slope. B) is vertical. C) has a positive slope. D) is U-shaped.
Assume, for Vietnam, that the domestic price of textiles without international trade is higher than the world price of textiles. This suggests that, in the production of textiles,
a. Vietnam has a comparative advantage over other countries and Vietnam will import textiles. b. Vietnam has a comparative advantage over other countries and Vietnam will export textiles. c. other countries have a comparative advantage over Vietnam and Vietnam will import textiles. d. other countries have a comparative advantage over Vietnam and Vietnam will export textiles.
A monopolist operates at the minimum point of its ATC curve
A. only in the short run. B. only in the long run. C. in both the short run and the long run. D. in neither the short run nor the long run.
On average, in the recessions since 1950, it has taken ________ for employment to return to its cyclical peak
A) about 6 months B) about 1 year C) about 18 months D) almost 2.5 years