Which of the Following Do Unions Not Cause

question 30

Multiple Choice

Which of the following do unions not cause?

• A)frictional unemployment
• B)the wage to rise above the equilibrium level
• C)conflict between insiders who benefit from high union wages and outsiders who do not get the union jobs
• D)reduced wages in industries without unions

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Definitions:

Paradox Of Voting

The situation where individual rational actors have little incentive to vote, considering their single vote is unlikely to change the outcome, yet voting occurs on a large scale.

Paradox Of Voting

The scenario where the cost of voting exceeds the expected benefits, leading to the rational abstention by individuals, despite collectively affecting the outcome.

Median-Voter Model

A theory in political science suggesting that the outcome of a majority-vote election is most likely to align with the preferences of the median voter.

Coase Theorem

The idea, first stated by economist Ronald Coase, that some externalities can be resolved through private negotiations among the affected parties.