Unions must worry about the marginal wage because it indicates the
A)Wage at which demand and supply intersect.
B)Opportunity wage available to workers.
C)Effect on the total wage bill of hiring additional workers.
D)Effect on the total wage bill of hiring all workers.

Question

Quizplus · Accepted Answer

The marginal wage is important to unions because it reflects the impact on the total wage bill of hiring additional workers. This concept helps unions understand how adding more workers to the workforce affects overall wages, which is crucial for negotiations and understanding labor market dynamics.

Unions Must Worry About the Marginal Wage Because It Indicates