Suppose a Country Reduces Restrictions on How Many Hours People

question 93

Multiple Choice

Suppose a country reduces restrictions on how many hours people can work.If reducing these restrictions increase the total number of hours worked in the economy,but all other factors that determine output are held fixed,then

• A)productivity and output both rise.
• B)productivity rises and output falls.
• C)productivity falls and output rises.
• D)productivity and output fall.

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Definitions:

Vested

A status where an employee has earned the right to keep benefits, often pertaining to retirement plans, regardless of employment status.

Pension Plan

A retirement plan that requires an employer to contribute to a pool of funds set aside for an employee's future benefit.

Original Beneficiary

The initial recipient designated to receive benefits or assets from a trust, will, or life insurance policy.

Plan Assets

Assets held by a retirement plan, including investments, cash, and property, used to generate benefits for participants.