Which of the Following Is a Long-Run Impact of an Increase

question 207

Multiple Choice

Which of the following is a long-run impact of an increase in the wage?

• A) The quantity demanded of labor increases because there are no diminishing returns.
• B) The quantity demanded of labor increases because the marginal revenue product curve shifts upward due to a higher product price.
• C) The quantity demanded of labor decreases because firms face a higher degree of diminishing returns.
• D) The quantity demanded of labor decreases because firms will have an incentive to use more of other inputs instead of labor.

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Definitions:

Unions

Organizations formed by workers to promote their rights, achieve common goals, and protect their interests.

Nonunion Committees

Groups or committees within a workplace that operate independently of traditional labor unions to represent employees' interests.

Employee Participation

involves the active engagement and contribution of employees in decision-making processes and activities within an organization, aiming to improve morale, efficiency, and workplace democracy.

Employee Involvement Programs

Initiatives designed to engage employees in decision-making processes, aiming to improve job satisfaction and productivity.