The Comparison of Earnings of Two Groups of the Labor

question 5

Multiple Choice

The comparison of earnings of two groups of the labor force is known as

• A)the Gini index.
• B)the wealth index.
• C)an earnings ratio.
• D)the GNH.

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Definitions:

Requirements Contract

An agreement in which one party agrees to purchase all of his or her requirements of a particular product from another party. See also output contract.

Output Contract

An agreement in which a seller agrees to sell “all the goods we manufacture” or “all the crops we produce” to a particular buyer. See also requirements contract.

Valid Contract

A contract that is legally binding and fully enforceable by the court.

Future Goods

Goods that are not yet in existence or under the control of people; they include fish in the sea, minerals in the ground, goods not yet manufactured, and commodities futures.