Because of diminishing marginal productivity
A) the labor supply curve is not vertical.
B) nominal wages are sticky in a downward direction.
C) the labor demand curve is negatively sloped.
D) households save only a small share of their income.
C
Economics
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According to the textbook, one of the most fundamental purposes of insurance is to
A. eliminate risk entirely for everyone. B. transfer risk from risk seeking people to risk neutral people. C. transfer risk from those who wish to avoid it to those who are willing to bear it (for a fee). D. eliminate risk entirely, while tolerating uncertainty.
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Recessions are periods of declining economic activity
a. True b. False Indicate whether the statement is true or false
Economics