An effective minimum wage will increase the quantity demanded of labor.
Answer the following statement true (T) or false (F)
False
An effective minimum wage (a minimum wage greater than the equilibrium wage) will increase the quantity supplied of labor as it entices more workers into the labor force because the opportunity cost of leisure is higher.
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The economy pictured in the figure below has a(n) ________ gap with a short-run equilibrium combination of inflation and output indicated by point ________. 
A. recessionary; B B. recessionary; C C. recessionary; A D. expansionary; A
Keynesian economics:
a. affirms the classical economists' basic premise concerning competitive markets. b. believes that monopolies and unions tend to be permanent fixtures in our economy and the prices they create tend to be flexible, at least downwardly. c. emphasizes the possibility that an economy can never be in equilibrium at less than full employment. d. prefers to emphasize aggregate supply over aggregate demand. e. believes that unemployment results when aggregate demand is insufficient to reach a full-employment level of real GDP.
Farm programs that guarantee a price higher than equilibrium
a. cause shortages b. decrease government spending c. decrease taxes d. raise farm property values e. increase suburban development
The maximin criterion seeks to minimize the maximum payoffs in order to win.
Answer the following statement true (T) or false (F)