When Drawn Against the Current Real Wage, the Labour Demand

question 60

Multiple Choice

When drawn against the current real wage, the labour demand curve is

• A)upward sloping because the marginal product of labour rises with the quantity of labour employed.
• B)downward sloping because the marginal product of labour declines with the quantity of labour employed.
• C)upward sloping because the marginal product of labour declines with the quantity of labour employed.
• D)downward sloping because the marginal product of labour is constant.
• E)downward sloping because the marginal product of labour rises with the quantity of labour employed.

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Definitions:

Instrumentality

The perception that a certain level of performance will lead to the attainment of a desired outcome.

High Power Need

A psychological term describing a person's desire to exert control or influence over others.

McClelland

A reference to David McClelland, an American psychologist known for his work on motivation needs theory, including the needs for achievement, affiliation, and power.

Behavior Modification

The use of empirical and operant conditioning techniques to change or adjust unhealthy or undesirable behaviors.