Briefly describe how labor unions can affect wages in non-unionized industries
If labor unions raise wages above the equilibrium level, some workers who want union jobs will be unemployed because the quantity supplied of unionized jobs will exceed the quantity demanded. If those workers seek jobs in non-unionized industries, the supply of labor in those industries will increase, which lowers wages in non-unionized industries, all else equal.
You might also like to view...
In a graph showing the market supply and demand for British pounds in terms of U.S. dollars, the supply-of-pounds curve is upward-sloping because ________.
A. fewer British pounds can be purchased per dollar if U.S. dollars become more expensive B. fewer U.S. dollars can be purchased per pound if British pounds become less expensive C. the British will purchase more U.S. goods or services when the dollar price of pounds falls D. the British will purchase more U.S. goods or services when the dollar price of pounds rises
Which of the following varies directly with the interest rate?
A. the opportunity cost of holding money B. the asset demand for money C. the level of investment D. the transactions demand for money
Dan missed class the day the professor covered the circular flow model. Dan asked his friend Joan to explain markets to him. Joan correctly stated that a market
A) must have many buyers and only one seller, who is willing to sell to all the buyers. B) is only a place to purchase groceries. C) requires a physical location for buyers and sellers to get together. D) must include a written contract between buyers and sellers. E) is any arrangement that brings buyers and sellers together.
Whenever there is adverse selection without signaling or screening, there will be a missing market.
Answer the following statement true (T) or false (F)