Suppose That Florists and Landscape Workers Are Not Unionized

question 27

Multiple Choice

Suppose that florists and landscape workers are not unionized.If florists unionize,then the wages of

• A)florists will rise,and the wages of landscape workers will fall.
• B)florists will fall,and the wages of landscape workers will rise.
• C)both florists and landscape workers will rise.
• D)both florists and landscape workers will fall.

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Definitions:

EAR

Effective Annual Rate, which measures the real return on an investment or the real interest rate on a loan, accounting for the effect of compounding.

Compounded Annually

The process where the interest earned on an investment is added to the principal, and the new total amount earns interest the following year, leading to exponential growth.

Compounded Monthly

Interest calculation method where interest is added to the principal balance each month, and future interest is calculated on the new total.