-The Figure Above Shows a Local Lawn Cutting Service's Demand

question 337

Multiple Choice

-The figure above shows a local lawn cutting service's demand for labor curve when the price of cutting an acre of lawn is $50 per acre. If the wage rate rises from $100 per day to $200 per day, the firm's demand for labor curve

• A) shifts leftward.
• B) shifts rightward.
• C) does not shift at all, but the firm moves upward along the curve.
• D) None of the above because this change shifts the supply of labor curve.

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