Term for Identification: Rerum Novarum

question 3

Short Answer

Term for identification: Rerum novarum

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Definitions:

Fringe Benefits

Additional benefits, beyond a salary, offered to employees, such as health insurance, retirement plans, and paid time off.

Minimum Wage

The lowest remuneration that employers can legally pay their workers—the rate may be set by national government or by a state or local government.

Substitution Effect

The change in consumption patterns due to a change in the prices of goods, leading consumers to replace more expensive items with less costly alternatives.

Income Effect

A change in the consumption patterns of individuals arising from a change in their real income, due to shifts in prices or income levels.