If the Motor Vehicle Builders' Union Successfully Negotiates a Wage

question 136

Multiple Choice

If the Motor Vehicle Builders' Union successfully negotiates a wage increase for its members, how does the wage hike affect the supply of cars?

• A) The quantity supplied decreases.
• B) The supply increases.
• C) The supply decreases.
• D) The quantity supplied increases.
• E) Both answers B and D are correct.

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