One complication that tends to prolong recessionary gaps is that wages
A. are fixed by unions, which represent nearly all workers in the United States.
B. tend to rise rapidly.
C. rarely fall.
D. tend to move in the opposite direction from prices.
Answer: C
Economics
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In the indifference curve-budget line model of labor supply, the slope of the indifference curves is used to measure
a. the wage rate. b. labor's marginal product. c. the worker's nonlabor income. d. the marginal value of leisure.
Economics
Capital income in the U.S. equals approximately ________ of GDP.
A. one third B. one half C. two thirds D. two fifths
Economics