As the wage rate per hour increases, the opportunity cost of leisure
A) may increase or decrease depending on the individual's preferences.
B) decreases since the consumer now has more income to spend.
C) increases since the cost of forgoing one hour of work increases.
D) remains constant.
Correct Answer:
Verified
Q4: Which of the following changes has occurred
Q5: If input markets were perfectly competitive, income
Q6: Which of these is not a determinant
Q7: The substitution effect of higher wages suggests
Q8: Economists call the sacrifice involved in working
Q10: Assuming leisure is a normal good, if
Q11: If the income effect is smaller than
Q12: The elasticity of supply of labour will
Q13: The elasticity of supply of labour is
Q14: An unemployed salesperson has been offered a
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