Which of the Following Statements Is Correct? an Individual Worker's

question 106

Multiple Choice

Which of the following statements is correct? An individual worker's labor supply curve

• A)can never be backward sloping.
• B)slopes backward if that person responds to a higher wage by taking fewer hours of leisure per week.
• C)slopes backward if that person responds to a higher opportunity cost of leisure by working fewer hours per week.
• D)slopes upward if that person works the same number of hours per week, regardless of the opportunity cost of leisure.

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Definitions:

Premium

An amount paid in addition to a standard price or rate; in insurance, it's the amount paid for coverage.

Collateral

Assets pledged by a borrower to secure a loan or credit, which can be seized by the lender if the borrower fails to repay.

Bond Trustee

A financial institution appointed to oversee the interests of bondholders, ensuring the bond issuer meets all terms and conditions.