Suppose That a Union Successfully Negotiated a 10 Percent Wage

question 106

Multiple Choice

Suppose that a union successfully negotiated a 10 percent wage increase and the quantity of labor demanded increased by 10 percent. We can conclude that

• A) the labor demand curve must have independently shifted to the right.
• B) labor demand is highly elastic.
• C) the coefficient of labor demand elasticity is less than 1.
• D) labor demand is unit-elastic.

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Definitions:

Intuiting

involves understanding or knowing something without conscious reasoning, using instinctive feeling rather than factual analysis.

Dreams Nature

Pertains to the inherent characteristics, meanings, or functions of dreams, often analyzed in psychological or neuroscientific contexts.

Prospective

Relating to or effective in the future; likely to happen or to be concerned with what is to come.

Compensatory

Refers to mechanisms or behaviors aimed at offsetting deficiencies or disadvantages.