The wage rate is the price of a unit of labor. What happens to the quantity of labor supplied if the wage rate increases?

A. It increases.
B. It decreases.
C. It does not change.
D. Uncertain-economic theory has no answer to this question.

Answer: A

Economics

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If the demand curve for tacos is a downward sloping straight line, at which of the following prices is the demand the most elastic?

A) a price of $0.50 per taco B) a price of $1.00 per taco C) a price of $1.50 per taco D) There is not enough information given to determine at which price the demand is most elastic.

Economics

In long-run competitive equilibrium, the perfectly competitive firm produces where price equals minimum average total cost

a. What is this efficiency criterion called? b. How does it benefit consumers?

Economics