Construction work is much riskier than working as a server at a restaurant. As a result, we'd expect a difference in wages between the two jobs. The difference is known as

a. an efficiency wage.
b. a compensating differential.
c. a wage adjustment.
d. a minimum wage.

b

Economics

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Based on our understanding of the IS-LM model that takes into account dynamics, we know that an increase in government spending will cause

A) a gradual increase in i and gradual increase in Y. B) an immediate increase in Y and immediate drop in i. C) an immediate increase in i and no initial change in Y. D) a gradual increase in i and an immediate increase in Y.

Economics

What are the optimal wage and employment level from the perspective of a union in Figure 31.1?

A. $8; 10 workers. B. $4; 13 workers. C. $5; 16 workers. D. $11; 32 workers.

Economics