The Reason That the Supply Curve for Labor in a Purely

question 171

Multiple Choice

The reason that the supply curve for labor in a purely competitive market slopes upward is because

• A) the wage rate paid to workers falls as more are hired.
• B) the marginal product of labor falls as output increases.
• C) marginal resource cost rises as productivity increases.
• D) higher wages must be paid to bid workers away from other opportunities.

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Definitions:

Labor Unions

Organizations formed by workers to protect their rights and interests, typically focusing on issues related to wages, working conditions, and labor laws.

Workforce Unionized

A Workforce Unionized is one where a majority of workers are members of a labor union, which represents their interests in negotiating with employers.

Industrial Nations

Countries characterized by a significant level of industrialization, with a substantial portion of the economy dedicated to the production and distribution of goods and services through industrial enterprises.

Labor Unions

Organizations formed by workers from related fields that work for the collective bargaining of wages, benefits, working conditions for their membership, and engaging in negotiations with employers.