Which of the following best describes the relationship between the efficiency wage and the equilibrium wage?
a. The efficiency wage is higher.
b. The equilibrium wage is higher.
c. They are equal.
d. The efficiency wage may be either higher or lower.
a. The efficiency wage is higher.
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Market consumer surplus at any price
a. is the area above the market supply curve and below the market demand curve b. is the area below the market supply curve and above the market demand curve c. is the area under the demand curve and above the market price d. is that price multiplied by the number of units demanded e. is the number of units demanded multiplied by the cost of producing them.
If personal taxes are cut temporarily, the resulting
a. increase in personal saving would be larger than if they were cut permanently. b. decrease in personal saving would be larger than if they were cut permanently. c. decrease in personal saving would be smaller than if they were cut permanently. d. increase in personal saving would be smaller than if they were cut permanently.