Exhibit 14-1 Aggregate Supply Curve

question 60

Multiple Choice

Exhibit 14-1 Aggregate supply curve

-In Exhibit 14-1,as production increases,firms resort to offering higher-wage rates to attract the dwindling supply of unemployed resources in:

• A) the segment labeled ab.
• B) the segment labeled bc.
• C) the segment labeled cd.
• D) both segment bc and segment cd.
• E) the entire curve.

---

Definitions:

Statute of Frauds

A legal principle that requires certain types of contracts to be in writing in order to be enforceable.

Illegal

Actions or conduct that the law forbids and for which there are punitive consequences.

Breach of Contract

The failure to fulfill the terms of a contract without lawful excuse.

Verbal Agreement

A contract or agreement made through spoken words, which can be legally binding, although harder to prove than written ones.