If Increased Capital Usage Reduces the Firm's Short-Run Demand for Labor,then

question 56

Multiple Choice

If increased capital usage reduces the firm's short-run demand for labor,then

• A) labor is a regressive factor.
• B) labor and capital are complements in production.
• C) labor and capital are substitutes in production.
• D) labor is a Giffen factor.

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Definitions:

Income Received

The total earnings obtained by an individual or entity, including wages, salaries, profits, rents, and other forms of financial gains.

Lowest Quintile

describes the bottom 20% segment of a population sorted by income or wealth, usually referenced in economic studies of inequality.

Income Received

The amount of money or monetary value received by an individual or entity in exchange for goods provided, services rendered or as a return on investments.

Middle Three Quintiles

The segments of the population that fall into the second, third, and fourth quintiles when dividing the total population into five equal groups based on income or wealth.