A Union May Negotiate Limits on Workload in Order to Increase

question 60

Multiple Choice

A union may negotiate limits on workload in order to increase the demand for labor and raise workers' salaries. This practice is known as:

• A) featherbedding.
• B) human capital formation.
• C) monopsonistic bargaining.
• D) artificial demand stimulus.

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Definitions:

Money Supply

The complete aggregation of monetary assets within an economy at a particular point, including cash, coins, and the funds in checking and savings accounts.

Velocity

The rate at which money circulates within an economy, often measured as the ratio of nominal GDP to the money supply.

Price Level

An index that measures the average relative level of prices of goods and services in an economy over a period of time.

Inflation

The speed at which the overall price level for goods and services increases, thereby diminishing the buying power.