An Increase in the Supply of Labour as a Result

question 132

Multiple Choice

An increase in the supply of labour as a result of population growth causes

• A)the real wage rate to increase.
• B)the nominal wage to increase.
• C)the labour supply curve to shift to the right.
• D)the labour supply curve to shift to the left.
• E)None of the above.

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Definitions:

Power

The ability or capacity to direct or influence the behavior of others or the course of events.

Value System

A set of consistent ethics, principles, and morals that guide an individual's or group's behavior and decisions.

Perpetuate

To make something continue indefinitely; to cause to last or to be remembered or celebrated for a long time.

Diffusion

The process by which an innovation is communicated through certain channels over time among the members of a social system.