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Consider the Labour Supply Responsiveness to Wage Changes of Various

Question 9

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Consider the labour supply responsiveness to wage changes of various natures. In what order would we expect this elasticity to be, from the largest response to the smallest response?


A) permanent wage change, evolutionary wage change, transitory wage change
B) evolutionary wage change, transitory wage change, permanent wage change
C) transitory wage change, permanent wage change, evolutionary wage change
D) evolutionary wage change, permanent wage change, transitory wage change
E) transitory wage change, evolutionary wage change, permanent wage change

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