Which of the Following Statements Regarding Labor Supply Is False

question 145

Multiple Choice

Which of the following statements regarding labor supply is false?

• A)Jerry's labor supply curve can bend backward if the income effect of a higher wage rate outweighs the substitution effect.
• B)Bob's labor supply curve will not bend backward if the wage rate is never so high that the income effect outweighs the substitution effect.
• C)If there is a wage rate above which the income effect is at least as great as the substitution effect, the labor supply curve will be vertical or bend backward.
• D)The labor supply curve will slope upward if the income effect dominates the substitution effect.
• E)Hayden's offer to work more hours as the result of a wage increase suggests that the substitution effect dominates the income effect.

---

Definitions:

Binge Eating Disorder

A condition involving frequent instances where one consumes vast amounts of food rapidly, leading to a feeling of discomfort.

Restrictive Dieting

A dietary approach that significantly limits food intake or types of food, often for weight loss or health-related reasons.

Mood Swings

Significant fluctuations in a person's mood, such as going from feeling euphoric or extremely happy to suddenly feeling very sad or down.

Onset

The beginning or start of something, often used in the context of the commencement of symptoms in a medical condition.