Inclusive Unions Restrict the Number of Jobs Directly by Shifting

question 51

True/False

Inclusive unions restrict the number of jobs directly by shifting the labor supply curve to the left; exclusive unions restrict the number of jobs by imposing above-equilibrium wage rates on the employer.

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Definitions:

Constant of Proportionality

The fixed value that relates two proportional quantities.

Directly Proportional

A relationship between two variables wherein they increase or decrease at the same ratio.

Fifth Power

Raising a number or expression to the exponent of five, multiplying it by itself four times.

Hooke's Law

A principle of physics that states the force needed to extend or compress a spring by some distance is proportional to that distance.