Which of the Following Is Not Correct

question 22

Multiple Choice

Which of the following is not correct?

• A)When a union is present in a labor market,wages are determined by the equilibrium of supply and demand.
• B)Like any cartel,a union is a group of sellers acting together in the hope of exerting their joint market power.
• C)The process by which unions and firms agree on the terms of employment is called collective bargaining.
• D)Most workers in the U.S.economy are not members of a union.

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Definitions:

Producer Surplus

The discrepancy between the acceptable payment to producers for a good or service and the real compensation they receive.

Consumer Surplus

The variance between the sum consumers are ready and able to spend on a good or service and what they really pay.

Producer Surplus

The gap between the amount producers are prepared to accept for a product or service and the actual payment they get.

Maximum Sum

The largest possible aggregate or total achieved from combining specific elements or numbers.