The Demand for Labour Increases (That Is, the Demand for Labour

question 113

Multiple Choice

The demand for labour increases (that is, the demand for labour curve shifts rightward) if the

• A) price of the firm's output falls.
• B) price of the firm's output rises.
• C) wage rate increases.
• D) wage rate decreases.

---

Definitions:

Effective Rate

The actual interest rate on an investment or loan, taking into account the effect of compounding over a given period of time.

Effective Annual Rate

It is the interest rate that is adjusted for compounding over a given period. Essentially, it represents the actual annual return on an investment or the actual cost of borrowing.

Per Month

A recurring period or frequency, indicating that an action or event occurs or is calculated on a monthly basis.

Effective Rate

The actual interest rate an investor earns or pays on an investment or loan, taking into account the compounding of interest.