Question 7 1 pts The supply curve of individual labor is backward bending but the market supply of labor is upward slopi
Posted: Thu May 19, 2022 8:21 am
- Question 7 1 Pts The Supply Curve Of Individual Labor Is Backward Bending But The Market Supply Of Labor Is Upward Slopi 1 (57.93 KiB) Viewed 66 times
Question 7 1 pts The supply curve of individual labor is backward bending but the market supply of labor is upward sloping because O All of these answers are correct statements o the nature of specialization in different industries is the reason for upward sloping Labor supply curve for the entire labor market. O market supply of labor is always upward sloping because diverse characteristics of labor market behavior. O Substitution effect is positive with low wages and labor hours. But income effect is negatively related to higher wages to opt for more leisure. So, at higher wages, income effect outweighs the substitution effect to show backward bending Labor supply curve for individual supply curve. Question 8 1 pts Both market demand for labor and individual form demand curve for labor are downward sloping because the output price is increasing The value of MP of labor increase as more output is produced The law of diminishing marginal productivity of labor as more labor input is hired in the same plant size, ceteris paribus O None of these answers are correct statements Question 9 1 pts Changes in labor demand curve (shift) and thus changes in equilibrium wages and quantity of labor are mainly attributed to among others. O Changes in marginal labor productivity and output prices O Changes in wage elasticity of labor demand curve O All of these answers are correct statements O changes in technology and labor cost