We would expect unions to have a more difficult time negotiating higher wages for their members when
A) labor represents a small portion of total costs.
B) the product produced makes up a small portion of families' budgets.
C) the product produced has several close substitutes.
D) there are not good substitutes for labor in the production process.
Answer: C
Economics
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The labor market is composed of
a. a relatively homogeneous supply of labor and downward-sloping demand curve. b. a vertical supply curve for labor and relatively elastic market demand. c. many submarkets for labor of different types. d. more teenagers than any other age group of labor.
Economics
The Washington Consensus argued that transition should begin with
a. The creation of macroeconomic stability b. A free floating exchange rate c. De-privatization d. All of the above e. None of the above
Economics