Research on labor supply generally shows that
A) labor supply rises in response to a permanent increase in the real wage, but falls in response to a temporary increase in the real wage.
B) labor supply rises in response to a temporary increase in the real wage, but falls in response to a permanent increase in the real wage.
C) labor supply rises in response to both a temporary and a permanent increase in the real wage.
D) labor supply falls in response to both a temporary and a permanent increase in the real wage.
B
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The above figure shows the payoff to two airlines, A and B, of serving a particular route. If the two airlines must decide simultaneously, what happens if the government imposes a $20 per firm tax on firms that service this route?
A) Neither firm has a dominant strategy. B) Not entering is a dominant strategy for both firms. C) Neither firm entering is a Nash equilibrium. D) Only firm A will enter.
Statutes prescribing maximum hours and minimum wages for women were common by 1920 . The effects of these laws included all of the following except
a. complementary limits on the hours of male workers. b. a negligible impact on female employment. c. reduced competition for jobs between male and female workers. d. increased employment of women in managerial positions.
If inflationary expectations are quite sluggish (that is, they do not adapt quickly), then the short-run Phillips curve will
a. be vertical. b. be horizontal. c. slope downward. d. slope upward.
If no one can be prevented from using good x, then good x is one of two types of goods. What are those two types?