Scenario 18-7 Suppose the Following Events Occur in the Market for University

question 216

Multiple Choice

Scenario 18-7
Suppose the following events occur in the market for university economics professors.
Event 1: A recession in the U.S. economy lowers the opportunity cost of going to graduate school in economics to become a university economics professor.
Event 2: An increasing number of students in U.S. primary and secondary schools increases the number of students entering college, increasing the output price of university economics professors' services.
-Refer to Scenario 18-7. As a result of these two events, holding all else constant, the equilibrium wages of university economics professors will

• A)increase.
• B)decrease.
• C)not change.
• D)It is not possible to determine what will happen to the equilibrium wages.

---

Definitions:

Organized Network

A structured system of interconnected individuals or entities that share information or work towards common goals.

Nervous System

The network of nerve cells and fibers that transmits nerve impulses between parts of the body, overseeing both voluntary actions and automatic functions.

Genetically Programmed

Describes traits, behaviors, or characteristics determined by an individual's DNA.

Martin Seligman

Martin Seligman is a psychologist widely known for his research in positive psychology, resilience, and theories related to learned helplessness.