If Through Collective Bargaining a Union Succeeds in Raising Its

question 51

Multiple Choice

If through collective bargaining a union succeeds in raising its members' wages, then:

• A)this would raise total wages earned.
• B)the observed wage and employment levels will be indicated by the intersection of the new horizontal wage line with the demand curve.
• C)the union must be simultaneously placing restrictions on union membership.
• D)this will necessarily cause the demand curve for labor to shift downward.
• E)the supply curve of labor will shift upward as workers substitute leisure for work.

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Definitions:

Tariff Negotiations

The process where countries discuss and agree on the tax rates to be applied to imported goods in order to protect domestic industries or raise government revenue.