Scenario 14.1 A Worker in Firm a Earns an Income of $5,000

question 114

Multiple Choice

Scenario 14.1
A worker in Firm A earns an income of $5,000 per month. He has been offered a job in Firm B where he will be paid a salary of $7,000 per month.
-Which of the following is a reason that some economists do not agree with the concept of a labor-leisure tradeoff?

• A)Wages are paid in dollars and leisure is measured in time, hence there is no way to compare the two.
• B)On a day-to-day basis, most jobs do not have the flexibility to allow people to weigh the benefits and costs to determine how much they should work that day.
• C)In the long-run, the supply of labor hours is perfectly inelastic.
• D)An increase in the wage rate always leads to an increase in the supply of labor hours, therefore the workers do not think of choosing leisure over labor.
• E)Some people do not work at all, so there is no labor-leisure tradeoff for those individuals.

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Definitions:

Judeo-Christian Morality

A set of ethical or moral principles derived from the Jewish and Christian religious traditions, often emphasizing values such as respect for life, individual dignity, and the importance of community and family.

Master Race

A supremacist belief that certain races or peoples are superior to others and should dominate or control them.

Ethics

The study of a way of life and its values, including a system of general moral principles and a conception of morality and its foundations. Sometimes the term simply refers to the study of moral principles.

Duty-Defined Morality

The view that moral right and wrong are determined first of all by a conception of a person’s duties and obligations.