If there is a decrease in the price of the final good that an industry produces,the labor demand curve for the industry is likely to ________.

Question

Quizplus · Accepted Answer

A decrease in the price of the final good that an industry produces means that the industry is less profitable. As a result, the industry will have less money to spend on hiring workers, causing a decrease in labor demand. This will result in a shift of the labor demand curve to the left.

If There Is a Decrease in the Price of the Final