Which of the Following Determines Equilibrium Wages in Perfectly Competitive

question 45

Multiple Choice

Which of the following determines equilibrium wages in perfectly competitive labor markets?

• A) The government.
• B) Monopoly employers.
• C) Where the supply and demand of labor are equal.
• D) The requirements of a living wage.

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Definitions:

Productivity

The measure of efficiency in converting inputs into useful outputs, commonly used to gauge the effectiveness of labor, machines, and systems.

Cohesiveness

The degree to which members of a group or team feel bonded together, which affects their willingness to cooperate and work collaboratively.

Members' Desire

The wants or aspirations of individuals within a group or organization.

Compliance Conformity

The process of aligning one's actions and behavior with established guidelines, rules, or standards.