When a Union Bargains Successfully with Employers, What Happens to Quantity

question 73

Multiple Choice

When a union bargains successfully with employers, what happens to quantity of labour supplied and demanded in that industry?

• A) Both the quantity of labour supplied and the quantity of labour demanded increase.
• B) Both the quantity of labour supplied and the quantity of labour demanded decrease.
• C) The quantity of labour supplied increases and the quantity of labour demanded decreases.
• D) The quantity of labour supplied decreases the quantity of labour demanded increases.

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Definitions:

Social Contract Theory

A theory in political philosophy that posits the legitimacy of the authority of the state over the individual is grounded in a hypothetical contract between them.

Wason Selection Task

A logical puzzle used as a test in psychology to study conditional reasoning and confirmation bias.

Syllogistic Reasoning

A form of logical reasoning that uses deductive reasoning to arrive at a conclusion based on two or more propositions that are asserted or assumed to be true.

Desirability

The quality of being wanted or wished for due to appealing attributes or qualities.