Multiple Choice
If the real wage rate is such that the quantity of labor supplied by workers is less than the quantity of labor demanded by firms,
A) real GDP equals potential GDP since firms make the decision on how many workers to hire.
B) the real wage rate will decrease.
C) the economy is at full employment.
D) the unemployment rate is less than the natural unemployment rate.
Correct Answer:
Verified
Related Questions
Q112: Q113: Equilibrium in the labor market![]()
A) cannot occur