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The Figure Above Shows the Market for Fast Food Restaurant

Question 56

Multiple Choice

  The figure above shows the market for fast food restaurant employees in a college town in a small nation to the East. The local Taco Bell pays its workers $9 an hour. This wage rate is A) designed reduce the unemployment rate. B) an effort to increase the demand for labor. C) an efficiency wage aimed at reducing employee turnover. D) the actual equilibrium wage rate. E) illegal because the equilibrium wage rate is $6 an hour.
The figure above shows the market for fast food restaurant employees in a college town in a small nation to the East. The local Taco Bell pays its workers $9 an hour. This wage rate is


A) designed reduce the unemployment rate.
B) an effort to increase the demand for labor.
C) an efficiency wage aimed at reducing employee turnover.
D) the actual equilibrium wage rate.
E) illegal because the equilibrium wage rate is $6 an hour.

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