Solved

Why Don't Wages Fall So That Everyone with the Skills

Question 102

Multiple Choice

Why don't wages fall so that everyone with the skills and desire gets a job?


A) The government might prevent it, through minimum-wage legislation.
B) Labor unions might prevent it, through bargaining backed by the threat to strike.
C) Firms themselves might prevent it, by voluntarily choosing to pay higher wages than necessary.
D) All of these are reasons why wages may not fall to equilibrium.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents