Question : 11) All else equal, if the supply of veterinarians continues : 1387984

11) All else equal, if the supply of veterinarians continues to increase while the population of dogs and cats continues to decline, the incomes of veterinarians will

A) increase.

B) decline.

C) remain unchanged.

D) be indeterminate.

12) If the labor supply is unchanged, an increase in the demand for labor will

A) increase the equilibrium wage and decrease the number of workers employed.

B) increase the equilibrium wage and increase the quantity of jobs demanded.

C) decrease the equilibrium wage and increase the number of workers employed.

D) increase the equilibrium wage and increase the number of workers employed.

13) Michael Spence proposed the signaling hypothesis. According to this hypothesis,

A) workers signal their desire to work for a particular firm by the way they answer questions in job interviews.

B) employers signal their preferences for the type of employee they wish to hire through job ads and the questions they ask during job interviews.

C) employers view a college education as a signal that potential workers have certain desirable qualities.

D) high wages are a signal that workers have skills that are highly valued by employers.

14) Daniel Hammermesh and Stephen Donald studied the determinants of the earnings of college graduates years after they graduated. Which of the following is one result of their study?

A) The earnings of identical twins were about 9 percent higher than the earnings of all other students.

B) Students who had taken 15 credits of upper-division science and mathematics courses and earned high grades in these courses earned about 10 percent more than students who took no upper-division classes in these subjects.

C) Students who took more Advanced Placement (AP) courses while still in high school earned significantly more income for each AP course they passed with a grade of 4 or 5.

D) Students who took at least three economics courses earned about 9 percent more income than students who took no college economics courses.

15) Which of the following summarizes the impact of population growth on the labor market?

A) This will increase the labor supply, reduce the equilibrium wage and increase the quantity of labor demanded.

B) There will be an increase in the demand for labor. As a result, the wage rate will rise and the quantity of workers supplied will decrease.

C) There will be an increase in the demand for jobs. This will result in an increase in the equilibrium wage rate and a movement along the labor supply curve.

D) There will be an increase in both the demand for labor and the supply of labor. As a result, the equilibrium wage will not change.

16) Which of the following would cause an increase in the equilibrium wage?

A) The supply of labor increases more than the demand for labor.

B) The supply of jobs increases more than the demand for jobs.

C) The demand for labor increases faster than the supply of labor.

D) The supply of labor increases and the demand for labor decreases.

17) Suppose the labor market is in equilibrium. Which of the following statements is false?

A) The equilibrium wage rate is equal to the marginal revenue product of labor.

B) At the equilibrium wage, the quantity of labor demanded equals the quantity of labor supplied.

C) Some workers will earn more than the equilibrium wage.

D) At the equilibrium wage, the demand for labor is equal to the supply of labor.

18) If the demand for labor is unchanged, an increase in the supply of labor will lead to

A) a decrease in the quantity of labor demanded and a decrease in the equilibrium wage.

B) an increase in the quantity of labor demanded and a decrease in the equilibrium wage.

C) an increase in the quantity of labor demanded and an increase in the equilibrium wage.

D) a decrease in the quantity of labor demanded and an increase in the equilibrium wage.

19) How will an increase in labor productivity affect equilibrium in the labor market?

A) The supply of labor will increase and the equilibrium wage and quantity of labor will increase.

B) The demand for jobs will increase and the equilibrium wage and quantity of labor will increase.

C) The demand for labor will increase and the equilibrium wage and quantity of labor will increase.

D) The demand for labor will decrease because fewer workers will be needed to produce the same output. The equilibrium wage and quantity of labor will decrease.

20) All else equal, if job turnover has people leaving jobs and finding new jobs in the same industry, this will

A) increase the demand for labor and the supply of labor.

B) increase the demand for labor and decrease the supply of labor.

C) decrease the supply of labor, but not change the demand for labor.

D) not change demand or supply in the labor market.