In the Context of Modeling the Impact of Unionization, the Simultaneity

question 22

Multiple Choice

In the context of modeling the impact of unionization, the simultaneity issue refers to the fact that:

• A) Longitudinal data is used, which renders the estimation of the union wage effect.
• B) The union status of a worker and the union wage effect are jointly determined, which renders the estimation of the union wage effect.
• C) Union wages are determined at the same time as non-union wages, which renders the estimation of the union wage effect.
• D) The threat effect can operate at the same times as the wait-unemployment effect, which renders the estimation of the union wage effect.
• E) There is variation in the union wage impact across types of firms and workers, which renders the estimation of the union wage effect.

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Definitions:

Accounts Payable

Liability accounts listing the amounts a company owes to suppliers for goods or services received on credit.

Salaries Payable

A liability account representing the amount of wages owed to employees for work performed but not yet paid.

Liability Account

A financial accounting term representing the debts or obligations of a company incurred during business operations.

Asset Account

An account on a company's balance sheet that represents the value of all assets that the company owns.