Which of the Following Statements Is Not Correct

question 48

Multiple Choice

Which of the following statements is not correct?

• A) If Jane gets a higher wage and works more, the substitution effect is greater than the income effect for her.
• B) If Spencer experiences a wage decrease and works less, the income effect is greater than the substitution effect for him.
• C) If the substitution effect is greater than the income effect, the labor-supply curve is upward sloping.
• D) If the income effect is greater than the substitution effect, the labor-supply curve is downward sloping.

---

Definitions:

Informal Group

A group formed naturally based on personal relationships or shared interests rather than structured organizationally or by authority.

Day-To-Day Activities

Day-to-day activities encompass the routine actions and tasks that individuals or organizations perform regularly as part of their normal life or operation.

Task-Oriented

Focused on completing specific tasks or objectives, often prioritizing work efficiency and achievement of results over personal relationships.

Self-Oriented

Pertains to behaviors or attitudes focused on one's own needs, desires, or interests rather than those of others.