Refer to the diagrams and assumptions. If all the workers who lose their jobs in the union sector because of a W n to W u union wage increase are reemployed in nonunion sector 2, output in that sector will:
These two graphs show two sectors of the labor market for a particular kind of
labor. Relevant product markets are competitive. The two labor demand curves are identical and initially the quantities of labor employed in the two sectors are L 1 and L 1 and the wage rate in each sector is W n
A. decrease by F + G.
B. increase by F + G.
C. increase by E + F.
D. increase by E.
B. increase by F + G.
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The ________ the sale of an additional unit of a product is a marginal benefit to the firm
A) revenue received from B) extra cost of C) total value of D) sales tax on
Refer to the above graph. Which factor will shift AD1 to AD2?
A. An increase in real interest rates. B. An increase in household indebtedness. C. An increase in national income abroad. D. An increase in business taxes.