Which of the Following Could Explain a Decrease in Labor

question 16

Multiple Choice

Which of the following could explain a decrease in labor supply to a particular labor market?

• A)an increased preference for this type of work
• B)a decrease in the size of the population
• C)an increase in the number of firms in the market
• D)a leftward shift of the marginal revenue product curve of labor at a typical firm
• E)a reduction in wages rates for similar types of work

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Definitions:

Business Ownership

This pertains to the legal possession and responsibility of a business entity.

Large Company

A corporation or enterprise that operates on a large scale in terms of revenue, employees, or market presence.

Franchisors

Companies or individuals that grant the license to a third party for the conducting of a business under their brand and name.

Return on Investment

A performance measure used to evaluate the efficiency or profitability of an investment, calculated as the net profit of the investment divided by the cost of the investment.