An Individual's Labor Supply Curve Shows

question 58

Multiple Choice

An individual's labor supply curve shows

• A)the maximum wage rates offered to that individual by various potential employers.
• B)the relationship between wages and the quantity of labor that she is willing to supply.
• C)the relationship between wages and the quantity of labor that a firm is willing to employ.
• D)the relationship between the quantity of hours worked and total income earned by that individual.

---

Definitions:

Total Individual Benefit

The total benefit that an individual derives from consuming a certain amount of goods or services, usually reflected in the willingness to pay for those goods or services.

Social Benefit

The total advantage to society from an action or policy, including both private benefits and externalities.

Public Good

A product that is non-excludable and non-rivalrous, which means it can be used by many people simultaneously without depleting its availability.

Consumption

The act of using goods and services for personal needs or satisfaction, often analyzed in economics to understand spending patterns and behaviors.