Which of the Following Statements Is Correct

question 168

Multiple Choice

Which of the following statements is correct?

• A)​If unions successfully bargain for higher wages for their union members, employment among union members will increase.
• B)​Wages are higher in nonunion jobs than in union jobs of comparable skill.
• C)​The efficiency wage model asserts that higher wages will lead to higher productivity.
• D)​The imposition of a minimum wage above the market price for unskilled labor creates a shortage of labor.

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Definitions:

Manufacturing Firms

Companies that produce and sell goods using raw materials, labor, and machinery.

Computer Chips

Small semiconductor devices that contain integrated circuits used to perform computing tasks.

Capital

Assets used in the production of goods and services, including physical tools, machinery, buildings, as well as intangible items like software or intellectual property.

Labor

The human effort, whether physical or mental, expended in the production of goods and services.