A Firm's Demand Curve for Labor Slopes Downwards Because

question 1

Multiple Choice

A firm's demand curve for labor slopes downwards because

• A)of the law of diminishing marginal returns.
• B)firms supply less labor as the wage rate rises.
• C)workers supply less labor services as the wage rate falls.
• D)of rising marginal product.

---

Definitions:

Unconscious Factor

Elements of thought and motivation that reside outside the conscious awareness but influence behavior and decisions.

Net Capital Loss

The financial loss that occurs when the total capital losses from investments exceed the total capital gains in a fiscal year.

Carry Back

A tax provision that allows a business to apply current year net operating losses to past tax years to receive a tax refund for previously paid taxes.

Carry Forward

A tax provision allowing taxpayers to apply a current year's unused tax credits or losses to future tax years.