Julie works at a local hat factory for $12 an hour and typically works 40 hours a week. The company threatens layoffs, so Julie and the others agree to a pay cut. Julie now earns $10 an hour and works every hour over 40 that her boss will let her. Julie's response to this pay cut was to work:
A. more, demonstrating a dominant income effect.
B. more, demonstrating a dominant price effect.
C. less, demonstrating a dominant income effect.
D. less, demonstrating a dominant price effect.
A. more, demonstrating a dominant income effect.
Economics
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If a company could spend $3 per bicycle on a safety device that would prevent $2,000 worth of harm for every 1,000 bicycles sold, spending the $3 would be a cost-justified precaution
Indicate whether the statement is true or false
Economics
According to Keynes, the primary determinant of a person's saving is
A) the nominal interest rate. B) the real interest rate. C) the level of the person's consumption spending. D) the level of the person's real current income.
Economics