If a Union Is Able to Increase the Demand for Union-Made

question 189

Multiple Choice

If a union is able to increase the demand for union-made goods,

• A)wages will increase but employment will decrease
• B)wages will increase and employment will increase
• C)wages will decrease but employment will increase
• D)wages will decrease and employment will decrease
• E)the demand for non-union labor will increase

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Definitions:

Variance of Returns

A statistical measurement of the dispersion of returns for a given security or market index, often used as a measure of volatility or risk.

Security Market Line

A representation in the Capital Asset Pricing Model (CAPM) showing the expected return of a security or portfolio in relation to its risk (beta).

Reward to Risk Ratio

A metric utilized by investors for comparing the anticipated gains from an investment against the risk incurred to attain those gains.

Beta

An indicator of the level of systematic risk or volatility of a security or a portfolio relative to the entire market.