Suppose that workers decrease their taste for leisure, and thus require less time away from work. What is likely to happen to wages and the quantity of labor hired?

Question

Quizplus · Accepted Answer

When workers decrease their taste for leisure, they are willing to work more hours or take less time off, effectively increasing the supply of labor. An increase in the supply of labor, all else being equal, leads to a decrease in wages because there are more workers willing to work. Additionally, as wages decrease, it becomes cheaper for employers to hire, leading to an increase in the quantity of labor hired.

Suppose That Workers Decrease Their Taste for Leisure, and Thus