Professor Weldon offers to pay his graduate students $20 an hour to grade essay papers. Six students accept the offer. When he raises the wage rate to $25, all ten of his students accept the offer. At least within the wage rate range $20 to $25, the students'

Question

Quizplus · Accepted Answer

When the wage rate increases from $20 to $25, more students are willing to work, indicating that the supply of labor increases with an increase in wage, which is characteristic of an upward sloping supply curve of labor.

Professor Weldon Offers to Pay His Graduate Students $20 an Hour