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Scenario: Truck Drivers Across the Country Are on Strike in an Effort

Question 234

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Scenario: Truck drivers across the country are on strike in an effort to negotiate higher wages. Currently the labor market in this industry clears at WM and QM, as shown in the figure below.
Scenario: Truck drivers across the country are on strike in an effort to negotiate higher wages. Currently the labor market in this industry clears at WM and QM, as shown in the figure below.    -Refer to the scenario above.New technologies allows trucks to drive without drivers.What is a likely consequence? A)  Wages for drivers will increase as their profession shrinks and skills become harder to find. B)  Wages for drivers will remain the same, because fewer drivers are needed but they are unlikely to accept wage cuts. C)  Wages for drivers will decrease, because fewer people will chose to become drivers. D)  Wages for drivers will decrease, because there will be less demand for drivers.
-Refer to the scenario above.New technologies allows trucks to drive without drivers.What is a likely consequence?


A) Wages for drivers will increase as their profession shrinks and skills become harder to find.
B) Wages for drivers will remain the same, because fewer drivers are needed but they are unlikely to accept wage cuts.
C) Wages for drivers will decrease, because fewer people will chose to become drivers.
D) Wages for drivers will decrease, because there will be less demand for drivers.

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