Labor union workers have _____ average earnings than nonunion workers, which results in a _____ quantity demanded of union labor.
A) lower; higher
B) lower; smaller
C) higher; higher
D) higher; smaller

Question

Quizplus · Accepted Answer

Labor union workers typically have higher average earnings than nonunion workers due to collective bargaining. However, because of these higher wages, employers may demand a smaller quantity of union labor, as it is more costly compared to nonunion labor.

Labor Union Workers Have _____ Average Earnings Than Nonunion Workers