If firms offer an efficiency wage:
a. the quantity of labor supplied will exceed the quantity of labor demanded.
b. the quantity of labor demanded will exceed the quantity of labor supplied.
c. the quantity of labor supplied will equal the quantity of labor demanded.
d. absenteeism is expected to increase.
Ans: a. the quantity of labor supplied will exceed the quantity of labor demanded.
You might also like to view...
A perfectly competitive firm would be willing to remain in the industry in the long run at zero economic profit because
A. its total revenues would be positive. B. accounting profit would be negative. C. revenue is equal to all costs, including the opportunity cost of capital and labor. D. its fixed costs would prevent it from leaving the industry.
Given all the complications that can result with fiscal policy, is fiscal policy still considered an effective policy tool for stabilizing business cycle fluctuations?
What will be an ideal response?
Which of the following is NOT a characteristic that makes information useful?
a. It is reliable b. It is timely. c. It is inexpensive. d. It is relevant.a
The graph shows the market for holiday condos in West Palm Beach. If a rent ceiling is set at $1,700 a week, the quantity of holiday condos rented
A) is 2,000 a week. B) is 4,000 a week. C) is 5,000 a week. D) is some amount, but more information is needed to determine the amount. E) depends on the black market.