James Worked for Three Years for a Company in Which

question 146

Multiple Choice

James worked for three years for a company in which the supervisors constantly criticized the employees, promoted their friends, and unfairly set work schedules.It has now been seven years since James worked for this company, and he cannot seem to remember the names of the people he worked with or even the details of the unfair treatment he received.James' forgetting is most likely due to

• A) memory decay.
• B) disuse.
• C) redintegration.
• D) repression.

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Definitions:

Substitution Effect

The economic principle that as prices rise, consumers will replace more expensive items with less costly alternatives.

Income Effect

The impact that changes in either personal or economic income have on how much of a good or service is sought after.

Quantity of Labor

The total hours of work or number of workers employed by a firm or within an economy, which can influence production output levels.

Substitution Effect

The change in consumption patterns due to a change in the relative prices of goods, leading consumers to substitute away from more expensive items.