When the Unemployment Rate Is on the Horizontal Axis and the Real

question 58

Multiple Choice

When the unemployment rate is on the horizontal axis and the real wage is on the vertical axis,an increase in productivity will cause which of the following to occur?

• A)The wage-setting and price-setting curves will both shift downward.
• B)The wage-setting and price-setting curves will both shift upward.
• C)The price-setting curve to shift downward, and no shift in the wage-setting curve.
• D)The wage-setting curve to shift upward, and the price-setting curve to shift downward.
• E) The wage-setting curve to shift downward, and the price-setting curve to shift upward.

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Definitions:

Craft Kits

Prepackaged sets containing materials and instructions for creating handcrafted items.

Assembles

The act of gathering or putting together items from individual pieces.

Worker's Compensation

Worker's Compensation is an insurance program that provides financial benefits and medical care for workers who are injured or become ill as a direct result of their job.

Unemployed

Pertains to individuals who are without a job but are available for and seeking employment.