When labor supply increases,
a. the marginal productivity of workers always increases.
b. profit-maximizing firms reduce employment.
c. wages increase as long as labor supply is upward sloping.
d. wages decrease as long as labor demand is downward sloping.
d
You might also like to view...
If the demand and supply curves for a commodity both shift to the left by the same amount, then in comparison to the initial equilibrium, the new equilibrium will be characterized by:
A) a higher price quantity. B) the same price and a higher quantity. C) the same price and a lower quantity. D) a lower price and a higher quantity.
The goals of monetary policy tend to be interrelated. For example, when the Fed pursues the goal of ________, this helps to achieve the goal of ________
A) high employment; price stability B) interest rate stability; financial market stability C) rapid economic growth; low inflation D) interest rate stability; a balanced budget