The Quantity of Labor Supplied Increases as the Real Wage

question 303

Multiple Choice

The quantity of labor supplied increases as the real wage rises because

• A)higher real wages mean that nominal wages have increased.
• B)the opportunity cost of working increases.
• C)the quantity of labor demanded increases.
• D)the opportunity cost of leisure rises.
• E)labor force participation decreases so that only serious workers are left in the labor force.

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Definitions:

Growth Hormone

A substance that promotes growth, reproduction of cells, and healing in humans and animals.

Cretinism

A condition often resulting from an untreated congenital thyroid hormone deficiency, characterized by physical and mental growth retardation.

Thyroid Hormone

Essential hormones produced by the thyroid gland that regulate metabolism, energy generation, and overall growth and development.

Aldosterone

A steroid hormone secreted by the adrenal glands that plays a key role in regulating blood pressure by controlling sodium and potassium levels in the blood.