Higher Wage Rates Allow a Person to Reduce the Hours

question 3

Multiple Choice

Higher wage rates allow a person to reduce the hours worked without losing income.This is known as the

• A)Substitution effect.
• B)Income effect.
• C)Law of diminishing marginal utility.
• D)Law of diminishing marginal leisure.

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Definitions:

Flash Sales

Limited-time offers or promotions featuring significantly reduced prices, typically used to quickly selling surplus inventory or attracting new customers.

Retailing Websites

Online platforms that sell products or services directly to consumers from businesses of various sizes, facilitating e-commerce transactions.

Telemarketing

The practice of marketing goods or services directly to potential customers over the telephone.

Direct Selling

A retail channel for the distribution of goods and services directly to consumers through face-to-face sales, bypassing traditional retail outlets.