Which of the Following Causes a Surplus in the Labor

question 98

Multiple Choice

Which of the following causes a surplus in the labor market?

• A)A minimum wage rate
• B)Price discrimination
• C)Outsourcing
• D)The law of diminishing marginal productivity
• E)The backward-bending shape of the labor supply curve

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Definitions:

Accounting Equation

The fundamental equation of double-entry bookkeeping: Assets = Liabilities + Equity, representing the financial position of a company.

Cash Account

A cash account is a business or brokerage account that requires the account holder to pay the full amount for securities purchased.

Debiting

The process of recording an entry on the left side of the accounting ledger, indicating an increase in assets or expenses, or a decrease in liabilities, equity, or income.

Consuming Goods

Goods that are used by consumers and are typically expended when used, opposed to durable goods which are designed to last for a prolonged period.