A Reduction in the Workers' Marginal Productivity Would Result in

question 116

Multiple Choice

A reduction in the workers' marginal productivity would result in

• A)an increase in labor supply.
• B)an increase in equilibrium employment level.
• C)a reduction in the equilibrium wage rate.
• D)a decrease in labor supply.

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Definitions:

Adjusting Entries

Recordings at the period's end in accounting to accurately assign earnings and costs to the time they happened.

Costs Expire

The concept that certain costs represent the consumption of assets over time or through use and are thus recorded as expenses.

Net Income

The total profit or loss of a business after all expenses, taxes, and costs have been deducted from total revenue.

Cash Basis

An accounting method where revenues and expenses are recognized only when cash is received or paid.