As stock prices rise and workers' wealth increases, workers will increase the quantity supplied of labor because they will want to buy more stock.True

Question

Quizplus · Accepted Answer

The statement is not necessarily true. While workers may have more wealth, their labor supply decisions are influenced by a variety of factors, including wages, non-financial benefits, and personal preferences. It is possible that workers may reduce the quantity supplied of labor if their wealth increases and they choose to work less or retire earlier.

As Stock Prices Rise and Workers' Wealth Increases, Workers Will