An Increase in the Demand for Workers Producing Computers for Export

question 33

Multiple Choice

An increase in the demand for workers producing computers for export versus producing agricultural products that can be imported more cheaply from abroad is an example of how increasing wage inequality can result from:

• A)the diminishing marginal product of labor.
• B)the diminishing marginal product of capital.
• C)increasing reservation prices.
• D)globalization.

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Definitions:

Discrimination

Unjust or prejudicial treatment of different categories of people, especially on the grounds of race, age, sex, or disability, leading to inequality and social tension.

Federal Government

The national government of a federation, responsible for enacting and enforcing laws applicable throughout the entire country.

State-grants

State grants are financial awards provided by state governments to individuals, organizations, or other state entities to support various projects, activities, or needs without any expectation of repayment.