The Price for Labor Is the Wage Rate

question 47

Multiple Choice

The price for labor is the wage rate.What happens to the quantity of labor supplied if wages increase?

• A)It increases.
• B)It decreases.
• C)It does not change.
• D)Uncertain-economic theory has no answer to this question.

---

Definitions:

Stock Purchase

The act of acquiring ownership shares in a company, representing a claim on part of its assets and earnings.

Required Return

The minimum expected return an investor demands for an investment, considering its risk and the returns available from other investments.

Dividends

Dividends are payments made by a corporation to its shareholders, usually as a distribution of profits, providing an income stream to investors.

Growth Rate

The measure of an entity's increase in size, value, or quantity over a specified period, often expressed as a percentage.