An Increase in Hourly Wage Will ________ the Wage Line

question 12

Multiple Choice

An increase in hourly wage will ________ the wage line and will lead to ________in the quantity of low-skill labor demanded.

• A) shift up; an increase
• B) shift up; a decrease
• C) shift down; an increase
• D) shift down; a decrease

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Definitions:

National Income

The total value of all goods and services produced by a country over a specific period, usually measured annually.

Wages and Salaries

The financial compensation received by employees for their labor, typically determined on an hourly, daily, or contractual basis.

Labor's Share

The segment of a country's income or production assigned to employees through wages, salaries, and perks.

Overall Efficiency

The effectiveness with which a system, such as an economy or a production process, utilizes resources to achieve its objectives, maximizing output with minimal waste.