Which of the Following Is Not a Reason Why Wages

question 114

Multiple Choice

Which of the following is not a reason why wages respond slowly to changes in output?

• A) Many labor contracts specify wages for up to three years.
• B) The process of wage setting in large corporations is slow moving.
• C) Frequent wage changes can reduce worker morale and reduce productivity.
• D) Firms benefit from having a reputation of paying stable wages.
• E) The labor supply and demand curves move rapidly to clear labor markets.

Comprehend the elements of control including power, relevant activities, and rights that confer power.

Understand disclosures and reporting requirements for consolidated financial statements.

Identify the need for uniform accounting policies and reporting periods within a group for the purpose of consolidated reporting.

Recognize how contractual relationships and potential voting rights influence control and the preparation of consolidated financial statements.

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Definitions:

Post Hoc, Ergo Propter Hoc

A logical fallacy where it is assumed that because one event followed another, the first event was the cause of the second.

Fallacy Of Division

The erroneous assumption that what is true of a whole necessarily applies to its individual parts or members.

Post Hoc, Ergo Propter Hoc

A logical fallacy that assumes if one event occurs after another, the first event must have caused the second.

Generalizations

Broad statements or concepts that apply to multiple instances, often used to simplify complex ideas.