Suppose the Government Grants Child Care Subsidies to Mothers Entering

question 161

Multiple Choice

Suppose the government grants child care subsidies to mothers entering the labour force.What is likely to happen to the equilibrium wage and quantity of labour?

• A)The equilibrium wage and the equilibrium quantity of labour rise.
• B)The equilibrium wage and the equilibrium quantity of labour fall.
• C)The equilibrium wage falls and the equilibrium quantity of labour rises.
• D)The equilibrium wage rises and the equilibrium quantity of labour falls.

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Definitions:

Trial Balance Totals

The aggregate sum of all debit and credit balances in a trial balance, which should equal each other, verifying the mathematical accuracy of the ledger accounts.

Cash Withdrawal

The act of taking money out of a bank account, which decreases the account balance.

Accounts Receivable

Unsettled dues from customers to a business for goods or services that have already been delivered or used.

Fees Earned

Revenue generated from providing services to clients or customers.