Figure 18-7
-Refer to Figure 18-7. Which of the following would shift the labor supply curve from S1 to S2?

Question

Figure 18-7 
-Refer to Figure 18-7. Which of the following would shift the labor supply curve from S1 to S2?

Quizplus · Accepted Answer

A change in workers' attitudes toward the work-leisure tradeoff would shift the labor supply curve from S1 to S2. This could be caused by factors such as a cultural shift toward valuing leisure time more or a change in the demographic makeup of the labor force (e.g. more individuals with different preferences regarding work and leisure). Technological progress, a decrease in the price of the firm's output, and an increase in the price of the firm's output would not directly impact workers' decisions about how much labor to supply.

Figure 18-7 -Refer to Figure 18-7. Which of the Following Would Shift