In the Following Graph, Q_S1 and Q_S2 Are the Supply

question 34

Multiple Choice

In the following graph, Q_S1 and Q_S2 are the supply curves for labour and Q_D1 is the demand curve for labour. Refer to the graph to answer the question.
When Q_S1 shifts to Q_S2, _____.

• A) the equilibrium quantity and wage level remain unchanged
• B) the equilibrium quantity of labour increases
• C) the wage level rises to W₃
• D) the demand for labour exceeds the supply of labour

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Definitions:

Assimilation

The process by which individuals or groups of differing ethnic heritage are absorbed into the dominant culture of a society.

Accommodation

The process by which the eye's lens changes shape to focus near or far objects on the retina, or adaptively adjusting one’s beliefs or thoughts in cognitive psychology.

Working Memory

A cognitive system that holds and manipulates information in short-term consciousness, critical for reasoning, guidance of decision-making, and behavior.

Sensory Memory

The shortest-term memory which acts as a buffer for stimuli received through the senses, lasting only a few seconds.