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If Job a and Job B Are Identical in All

Question 131

Multiple Choice

If job A and job B are identical in all aspects, except that job B pays higher wages, what will happen over time?

A) An increase in the demand for workers in job A will cause the wages of job A workers to equal the wages of job B workers.
B) A decrease in the demand for workers in job B will cause the wages of job B workers to fall to the level of wages in job A.
C) Job A workers will become job B workers, decreasing the supply of labor to Job A and increasing the supply of labor to job B until wages are equal but lower in job B.
D) Job A workers will become job B workers, increasing the supply of labor to Job A and decreasing the supply of labor to job B until wages are even higher in job B.

Correct Answer: