Fiona's hourly wage increases from $8 to $10 . Which of the following describes a consequence of the increase in Fiona's wage?
a. The opportunity cost of Fiona's leisure time has decreased.
b. Fiona may choose to work fewer hours due to the increase in her wage.
c. If Fiona's labor supply curve is upward sloping, she will choose to work fewer hours.
d. Both a and b are correct.
b
You might also like to view...
The Federal Reserve System consists of
A) one Federal Reserve Bank and 12 Federal Reserve districts, each with one branch bank. B) a main central bank located in New York, with 11 additional branch banks located across the country. C) 12 Federal Reserve Banks, each of which have a degree of independence from the U.S. government. D) 12 independent banks in the 12 Federal Reserve districts, each of which are owned and controlled by the federal government.
"As income rises, the demand for most goods also rises." This statement
a. is inconsistent with the law of demand b. suggests that many goods are inferior goods c. shows that the quantity demanded is inversely related to price d. suggests that most goods are normal goods e. does not apply to goods traded in competitive markets