Because Many Resource Prices Are Set by Long-Term Contracts, in the Short

question 200

Multiple Choice

Because many resource prices are set by long-term contracts, in the short run

• A) costs will increase by more than product prices when demand increases.
• B) costs will decrease when the demand for products increases.
• C) costs will increase by less than product prices when demand increases.
• D) costs will decrease by more than product prices when demand decreases.

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Definitions:

Union Shops

Workplaces where employment is conditional upon the worker's membership in the union, typically after a set period has been completed.

National Labor Relations Act

A US law enacted in 1935 that protects the rights of employees and employers, encourages collective bargaining, and curtails certain private sector labor and management practices, which can harm the general welfare.

Better Working Conditions

Improvements in the physical and psychological aspects of the work environment, aimed at enhancing employees' well-being.

Agency Shop

Union security arrangement that requires the payment of union dues but not union membership.