The demand for LED TVs increases. As a result
A) the wage rate in the LED TV industry increases and the quantity demanded of workers increases.
B) the wage rate in the LED TV industry increases and the quantity supplied of workers increases.
C) the demand for labor increases and the supply of labor also increases, leaving wages unchanged.
D) the demand for labor increases, but since the supply curve of labor is perfectly elastic, the wage rate does not change.
Answer: A
You might also like to view...
Tax avoidance reduces the federal government's revenue flow
a. True b. False
Governments sometimes subsidize domestic industries. When this occurs
A) the governments also impose tariffs on imports to protect the industries even more. B) the subsidized industries have an advantage in international markets relative to non-subsidized industries. C) firms cannot be guilty of dumping because their prices are not below their costs. D) the subsidized industries sell less in international markets because it is more profitable to sell domestically.