The demand curve for high-skilled labor lies to the right of the demand curve for low-skilled labor because
A) there are more high-skilled workers than low-skilled workers.
B) high-skilled workers require more compensation to convince them to work than do low-skilled workers.
C) high-skilled labor is more productive than low-skilled labor.
D) firms need not be concerned with the minimum wage in the market for high-skilled labor.
C
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Car A gets 12 miles per gallon. Car B gets 30 miles per gallon. Which is the most economically efficient car?
A) Car A B) Car B C) They are equal in their economic efficiency. D) It is impossible to determine without more information.
In the same city, one job currently pays $6 more per hour than another job. The two jobs have equivalent training requirements, but labor is not migrating toward the higher-paying occupation. Both markets are perfectly competitive. Which of the following conclusions is correct?
a. The lower-paying occupation has less attractive nonmonetary characteristics. b. There are barriers to entry into the higher-paying occupation. c. The higher-paying occupation has a dominant labor union. d. There are barriers to entry into the lower-paying occupation. e. The higher-paying occupation has less attractive nonmonetary characteristics.