When quantity demanded responds strongly to changes in price, demand is said to be

According to real business cycle theory, real wages are _____ correlated with employment and the portion of the population that is not in the labor market _____ with higher real wages

a. positively; rises. b. negatively, does not change. c. negatively, rises. d. positively; falls. e. none of the above.

A firm will find it profitable to hire workers up to the point at which their

A. marginal resource cost is equal to their MRP. B. MP is equal to their MRP. C. marginal resource cost equals their wage rate. D. wage rate equals product price.