Minimum-Wage Laws and Unions Are Similar to Each Other but Different

question 5

Multiple Choice

Minimum-wage laws and unions are similar to each other but different from efficiency wages in that minimum-wage law and unions

• A)cause unemployment,but efficiency wages do not.
• B)cause the quantity of labor supplied to exceed the quantity of labor demanded,but efficiency wages do not.
• C)cause wages to be above the equilibrium level.
• D)prevent firms from lowering wages in the presence of a surplus of workers.

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Definitions:

Locus of Control

A psychological concept that refers to an individual's belief about the extent to which the outcomes of their actions are under their own control (internal locus) or beyond their control (external locus).

Self-efficacy

An individual's belief in their own capability to succeed in specific situations or accomplish a task.

Learned Responses

Behaviors or reactions that are developed through experience or conditioning rather than being innate.

Stimuli

External factors or changes in the environment that affect sensory organs and can provoke physical or behavioral responses.