The figure above shows the labor demand and labor supply curves for workers in local fast-food restaurants. The fast-food restaurant industry is competitive. A decrease in the supply of labor shifts the labor supply curve from LS0 to LS1
Fast-food restaurants hire ________ and total labor income earned by the fast-food workers ________. A) 40 hours of labor a day; increases
B) 30 hours of labor a day; decreases
C) 40 hours of labor a day; decreases
D) 30 hours of labor a day; increases
D
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Suppose the United States enters a recession, what type of unemployment would be most likely to rise as a result of the recession?
Select one: a. Frictional unemployment b. Sectoral unemployment c. Cyclical unemployment d. Seasonal Unemployment
A pizza shop owner who needs to buy a new pizza oven is trying to decide between two different used ones. Whichever oven he buys, it will generate $6,000 net revenue per year. But the older pizza oven has a useful life of only 3 years and the newer oven has a useful life of 5 years. If the interest rate is 7% per year, what is the difference in value between the two ovens? (Assume that each
year's revenue is received at the end of the year.) a. 413.25 b. $10,892.99 c. $15,745.90 d. $24,601.18 e. $8,855.29