The Typical Labour Supply Curve Is Upward Sloping, but It

question 80

Multiple Choice

The typical labour supply curve is upward sloping, but it is possible for the curve to be backward bending-negatively sloped-at very high wage levels. Which of the following would cause a backward-bending supply curve?

• A) This would occur when the income effect from an increase in the wage becomes larger than the substitution effect.
• B) This would occur when the substitution effect from an increase in the wage becomes larger than the income effect.
• C) This would occur if leisure is an inferior good.
• D) This would occur when a large number of workers choose leisure rather than employment at low wages; only a very large increase in the wage will lead these workers to prefer employment to leisure.

Comprehend the role of digital tools and platforms in collecting and analyzing user data.

Understand the impact of technology advancements on privacy and surveillance.

Discern the ethical use of technology in competitive practices, such as sports.

Understand the concept of make-or-buy decisions and their impact on financial outcomes.

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Definitions:

Configures Automatically

Refers to software or devices that are designed to set themselves up with minimal or no manual intervention, adjusting settings based on the environment or usage.

Default Clock

The built-in timekeeping mechanism in a device that operates based on a predefined standard time setting unless altered by the user.

Mouse Keys

A feature that allows the numeric keypad to control the mouse cursor, making it easier for those with physical disabilities to use a computer.

Numeric Keypad

A portion of a keyboard or an external device featuring numbers and mathematical symbols, used for numerical input.