Explain how compensating differentials could contribute to differences between the average wages of men and women
Men and women may, on average, select different career paths. If men tend to be more concentrated in jobs that have less desirable working conditions, then compensating differentials can explain some of the difference in wages between men and women.
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If the Fed's policies aim to increase aggregate demand, the Fed must fear
A) recession. B) a supply shock that increases aggregate supply. C) a supply shock that decreases potential GDP. D) stagflation. E) inflation.
In a monopsony labor market, imposition of a minimum wage will
a. reduce employment b. increase unemployment c. cause employers to actually reduce wages d. reduce the number of people looking for work e. none of the above
When the U.S. dollar appreciates relative to the British pound, ceteris paribus, then ______.
a. U.S. consumers need a greater number of dollars to buy a given number of British pounds b. British consumers find that U.S. goods are less expensive in terms of their own currency c. the British pound appreciates relative to the U.S. dollar d. the relative price of British goods decreases for U.S. consumers
In any given market, prices are determined by
A. supply and demand. B. transactions costs. C. specialization of labor. D. comparative advantage.