Suppose Steve Stone Takes a Job with Zemo Manufacturing, Whose

question 52

Multiple Choice

Suppose Steve Stone takes a job with Zemo Manufacturing, whose labor contract with its unions has an agency shop clause (30 days) . Steve

• A) must join the union within 30 days.
• B) can decide against joining the union and place the union dues in a retirement account.
• C) can decide against joining the union but then will not receive any union-negotiated wage increases.
• D) can decide against joining the union but nevertheless will have to pay union dues or donate an equivalent amount to an approved charity.

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Definitions:

Inputs

The resources used in the production process to produce goods or services, including labor, materials, and capital.

Output

The amount of goods or services produced by a person, machine, factory, or entire economy in a certain period.

Returns To Scale

A concept in economics that describes how the output of a production process changes as the scale of production inputs changes.

Production Function

A mathematical model that describes the relationship between inputs used in production and the resultant output.