During an Interview with Zytex Company Representative, Hillary Was Told

question 289

True/False

During an interview with Zytex company representative, Hillary was told that Zytex faces intense competition and management believes that the only way the company can survive is to have a nonunion workforce. Therefore, all workers Zytex hires must sign an employment contract stating that they agree not to join a union while they work for Zytex. This requirement by Zytex is illegal in the United States.

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Definitions:

External Costs

Costs that are not borne by the parties involved in an economic transaction but by other individuals or society at large.

Auto Pollution

Auto pollution refers to the emissions generated by motor vehicles that contribute to air pollution.

Equilibrium Price

Equilibrium price is the price at which the quantity of a good demanded equals the quantity supplied, thus no surplus or shortage exists.

Adverse Selection

A situation in which sellers have information that buyers do not (or vice versa) leading to transactions that favor the party with more information.