According to the Classical Theorists,it Is Impossible to Have a

question 101

Multiple Choice

According to the classical theorists,it is impossible to have a

• A) surplus of a particular product.
• B) shortage of a particular product.
• C) decrease in the demand for a product.
• D) decrease in the supply of a product.
• E) general overproduction of products.

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Definitions:

Labor Supply Curve

A graph showing the relationship between the wage rate and the quantity of labor that workers are willing to provide at that rate.

Current Wage

The present amount of money that a worker receives in exchange for their labor, usually expressed per hour, day, or per work output.

Surplus of Labor

A surplus of labor occurs when the supply of labor exceeds the demand, resulting in unemployment or underemployment in the market.

Surplus of Labor

A situation where the supply of labor exceeds the demand for it, resulting in unemployment or underemployment.