Which of the following best explains why the market labor supply curve is upward sloping,even though individual supply curves are normally backward bending?
A) The statement is not true: market labor supply curves are also backward bending
B) Market labor supply curves are "price-adjusted," whereas individual supply curves are not
C) Lower wages in a given market increase the demand for labor,so more labor must be supplied to maintain labor market equilibrium
D) Higher wages in a given market attract more workers away from other activities,more than compensating for any reduction in hours by individuals already in the market
Correct Answer:
Verified
Q2: Suppose workers in labor market X are
Q3: Allocative efficiency is achieved when:
A)the marginal product
Q4: Market labor supply curves are generally:
A)upward sloping,as
Q5: refer to the following diagram of a
Q6: All profit-maximizing firms hire labor up to
Q7: If capital and labor are gross complements,an
Q8: Which one of the following is generally
Q9: Which one of the following conditions is
Q10: In a perfectly competitive environment,the height of
Q11: At the profit maximizing level of employment
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