When Economist Truman Bewley surveyed managers about their employment decisions during a recession, he found that:
A. they are indifferent between using layoffs and using wage cuts during a recession.
B. they feel guiltier about reducing workers' wages than they do about firing workers.
C. it is easier to reduce wages slightly for all workers than to fire some workers.
D. it is easier to fire some workers and leave the wages of the other workers unchanged.
Ans: D. it is easier to fire some workers and leave the wages of the other workers unchanged.
Economics
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If consumers expect the price of gasoline to increase tomorrow, the demand for gasoline today:
a. is likely to remain unchanged. b. is likely to decline substantially. c. is likely to be zero. d. is likely to increase.
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