If Wages Rise Faster Than Increases in Labour Productivity,then Unit

question 59

Multiple Choice

If wages rise faster than increases in labour productivity,then unit labour costs will

• A)fall and the AS curve will shift left.
• B)fall and the AS curve will shift right.
• C)rise and the AS curve will shift left.
• D)rise and the AS curve will shift right.
• E)not change because only total labour costs change.

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Definitions:

Spontaneous Recovery

The reappearance of a previously extinguished conditioned response after a pause.

Learned Response

A response that has been acquired through conditioning or learning, as opposed to being innate.

Partial Reinforcement

A conditioning method where a reward is not administered every time the desired behavior is performed, making the response more resistant to extinction.

Continuous Reinforcement

A method of learning in which every correct response is followed by a reward, facilitating the acquisition of a desired behavior.