According to the above table, if the minimum wage is set at $20 per hour, then
A) the quantity of labor demanded will increase until it is equal to the quantity of labor supplied.
B) there is an excess demand for labor.
C) the labor demand curve will shift until $20 is the new equilibrium real wage rate.
D) the quantity of labor supplied exceeds the quantity of labor demanded by 50 million hours per month.
E) the labor supply curve will shift until $20 is the new equilibrium real wage rate.
D
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Jill, a bookkeeper, just received an attractive offer from an outside firm and so she asks for a raise from her current employer. She would be in a strong bargaining position because
a. Her value for disagreement has increased b. Her value for disagreement has decreased c. Her value for disagreement has not changed d. Her value for agreement has not changed
Any terms of trade within the limits set by domestic opportunity costs will be mutually harmful, because each country tries to push the other as close to the limits of the terms of trade as possible
a. True b. False Indicate whether the statement is true or false