, PE4-
In a monosony labor market:
a. employees bargain with power through a union.
b. employees have an advantage, due to their human capital.
c. the employer is forced to pay a higher wage
d. the employer uses an attractive benefit package to attract good employees
e. none of the above - CORRECT ANSWERS-e. none of the above.
monospony labor market: Firm using its power as a major buyer of labor to pay lower
wages.
PE4-
focusing on young workers, according to Marianne Bertrand, the wage gap between
men and women is largely explained by which of the following?
a. employment differences
b. educational differences
c. differences in physical strength
d. non of the answers
e. all of the answers (except d) - CORRECT ANSWERS-d. none of the answers
Marianne Bertrand on wage gap:
PE4
Your landscaping company uses labor and shovels. The price of shovels falls, and this
_____ your demand for labor because labor and shovels are _____.
a. raises;complements
b. raises; substitutes
c. lowers; complements
d. lowers; substitutes
e. none of the answers - CORRECT ANSWERS-a. raises; complements
PE4
If Bella uses the Rational Rule for Workers, she will keep choosing more work and less
leisure until the:
a. value of her production equals her wage
b. marginal benefit of one more hour of leisure is equal to the wage
c. marginal cost of her work equals the value of her production
d. marginal benefit of one more hour of leisure is equal to the value of her production
e. none of the answers - CORRECT ANSWERS-b. marginal benefit of one more hour of
leisure is equal to the wage
PE4
Damon's wage rises. The substitution effect would cause him to ______his work hours,
and the income effect would cause him to ______his work hours.
a. increase; decrease
b. increase; increase
c. decrease; decrease
d. decrease; increase
In a monosony labor market:
a. employees bargain with power through a union.
b. employees have an advantage, due to their human capital.
c. the employer is forced to pay a higher wage
d. the employer uses an attractive benefit package to attract good employees
e. none of the above - CORRECT ANSWERS-e. none of the above.
monospony labor market: Firm using its power as a major buyer of labor to pay lower
wages.
PE4-
focusing on young workers, according to Marianne Bertrand, the wage gap between
men and women is largely explained by which of the following?
a. employment differences
b. educational differences
c. differences in physical strength
d. non of the answers
e. all of the answers (except d) - CORRECT ANSWERS-d. none of the answers
Marianne Bertrand on wage gap:
PE4
Your landscaping company uses labor and shovels. The price of shovels falls, and this
_____ your demand for labor because labor and shovels are _____.
a. raises;complements
b. raises; substitutes
c. lowers; complements
d. lowers; substitutes
e. none of the answers - CORRECT ANSWERS-a. raises; complements
PE4
If Bella uses the Rational Rule for Workers, she will keep choosing more work and less
leisure until the:
a. value of her production equals her wage
b. marginal benefit of one more hour of leisure is equal to the wage
c. marginal cost of her work equals the value of her production
d. marginal benefit of one more hour of leisure is equal to the value of her production
e. none of the answers - CORRECT ANSWERS-b. marginal benefit of one more hour of
leisure is equal to the wage
PE4
Damon's wage rises. The substitution effect would cause him to ______his work hours,
and the income effect would cause him to ______his work hours.
a. increase; decrease
b. increase; increase
c. decrease; decrease
d. decrease; increase
