Solved

When the Real Wage Is Below the Equilibrium Price in the Labor

Question 79

Multiple Choice

When the real wage is below the equilibrium price in the labor market ________.


A) we have an excess supply of labor and the real wage should fall
B) we have an excess demand of labor and the real wage should fall
C) we have an excess demand of labor and the real wage should increase
D) we have an excess supply of labor and the real wage should increase
E) none of the above

Correct Answer:

verifed

Verified

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

Related Questions

Q74: Real capital income is given by _.<br>A)MPK

Q75: Which of the following will cause an

Q76: Real labor income is given by _.<br>A)MPL

Q77: Equilibrium market prices for capital and labor

Q78: As an investor,negative supply shocks are not

Q80: Using the Cobb-Douglas production function,while holding other

Q81: The main cause of low per capita

Q82: The marginal product of labor (MPL)measures _.<br>A)by

Q83: If country X has a higher capital

Q84: An economy's production function is Y =