Figure 17.6.1 -Refer to Figure 17.6.1 Above. When the No-Shirking Constraint (NSC)

Multiple Choice

Figure 17.6.1
-Refer to Figure 17.6.1 above. When the no-shirking constraint (NSC) is applied, there is:

A) an increase in the quantity of labor demanded, beyond the quantity of labor supplied.
B) an efficiency wage rate with shirking higher than the wage without shirking.
C) a reduction in unemployment once the wage rate with shirking is applied.
D) an increase in wage rigidity that makes the supply of labor vertical.