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John's Reservation Wage Is $10 Per Hour

Question 64

Multiple Choice

John's reservation wage is $10 per hour. This means that


A) John will supply labour in the market at a wage of $10 and lower.
B) John will work 10 hours per day.
C) John will decrease the hours he works when his wage rate exceeds $10 per hour.
D) John will not supply labour in the market until he receives a wage of at least $10 per hour.

Correct Answer:

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