An increase in labor supply will cause, other things the same ________
A) real wages and employment to rise
B) real wages to fall and employment to rise
C) real wages to rise and employment to fall
D) real wages and employment to fall
B
You might also like to view...
The quantity of DVD players purchased declined in spite of a decline in price. This implies that the
A. supply curve for DVD players shifted to the left. B. demand curve for DVD players shifted to the right. C. demand curve for DVD players shifted to the left. D. supply curve for DVD players shifted to the right.
When the economy enters into a recession, your employer is ________ to reduce your wages because ________
A) likely; aggregate demand is vertical in the long run B) unlikely; lower wages reduce productivity and morale C) likely; output prices always fall during recession D) unlikely; output and input prices generally fall during recession
In the case where money demand is completely interest insensitive (interest elasticity equals zero), an increase in the quantity of money will
a. increase income but leave the interest rate unchanged. b. increase income and lower the interest rate. c. lower the interest rate but leave income unchanged. d. leave both income and the interest rate unchanged.
The U.S. system of national income accounts was started in the
a. late 1800s to measure the effects of rapid industrialization b. mid-1910s to measure the effects of World War I on the economy c. early 1930s to keep track of national income and output d. early 1940s to keep track of output during World War II e. early 1950s to measure changes in post-World War II output and income