If cats become a more popular pet in the United States than they are now, what can we expect to happen to the market for cat food workers?

Question

Quizplus · Accepted Answer

If the demand for cat food increases due to the increased popularity of cats as pets, the market value of cat food workers will also increase as their marginal revenue product (MRP) increases. This is because their skills will be in higher demand, and employers are willing to pay more for their productivity. Therefore, we can expect an increase in wages for cat food workers.

If Cats Become a More Popular Pet in the United