If, as a Result of Imperfect Information, Firms Set Their

question 51

Multiple Choice

If, as a result of imperfect information, firms set their wage rates below the market clearing wage rate

• A) unemployment increases.
• B) there will be a surplus of workers.
• C) there will be a shortage of workers.
• D) there will be equilibrium in the labor market.

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Definitions:

Prone

Lying flat, especially face-down, or having a tendency or inclination towards something.

Supine

A position of lying on the back, face or front side up.

Oblique

Positioned at an angle; not parallel or perpendicular to a reference line.

Lateral

Pertaining to the side; describes a position farther from the midline of the body or structure.