The supply curve of truck drivers is upward sloping and demand curve is downward sloping. A reduction in the price of hauling freight by truck relative to the price of hauling freight by rail will ____ the equilibrium wage of truck drivers and ____ the number of drivers employed.
A. decrease; decrease
B. decrease; increase
C. increase; decrease
D. increase; increase
Answer: D
You might also like to view...
Which of the following can create a monopoly? I. high prices II. public franchise III. patent IV. government license
A) I and II B) I and III C) I, II and III D) II, III and IV
Which of the following is the best definition of economics?
A. the study of how consumers spend their income B. the study of how business firms decide what inputs to hire and what outputs to produce C. the study of how individuals and societies choose to use the scarce resources that nature and previous generations have provided D. the study of how the federal government allocates tax dollars
Refer to the table below. What is the profit-maximizing quantity for Just Juice to produce at Plant 2?
Just Juice produces whole fruit juice that it sells in single bottles. Just Juice is a multi-plant firm with market power. The above table summarizes the total marginal cost of production at various output levels in Just Juice's two plants with the corresponding marginal revenue (dollars per bottle) and market demand (price per bottle).
A) 425
B) 450
C) 530
D) 600
The percentage of households with a Head Start enrollee where no one in the household has a job is
A. 5%. B. 67%. C. 33%. D. 50%.