Question : 11) Refer to Figure 14.2. According to classical economists if : 1381198

11) Refer to Figure 14.2. According to classical economists if the wage rate is

A) $15, the wage rate will decline to eliminate the surplus.

B) $15, the wage rate will increase to eliminate the shortage.

C) $6, the wage rate will decline to eliminate the surplus.

D) $15, the wage rate will decline to eliminate the shortage.

12) Refer to Figure 14.2. Which of the following can change the equilibrium wage rate from $9 to $6?

A) The value people put on their leisure time increases.

B) The value of what firms produce increases.

C) The productivity of workers decreases.

D) The productivity of workers increases.

13) Refer to Figure 14.2. Which of the following can change the equilibrium wage rate from $9 to $15?

A) The value people put on their leisure time increases.

B) The value of what firms produce decreases.

C) The productivity of workers decreases.

D) the value of what firms produce increases.

14) Which of the following may shift the labor demand curve?

A) an increase in the value of leisure

B) a decrease in the value of leisure

C) more people entering the labor force

D) an increase in the value of output that firms produce

15) Which of the following may shift the labor supply curve?

A) an increase in worker productivity

B) a decrease in the value people place on their time

C) an increase in the price of the output of the firm

D) an increase in the corporate tax rate

16) Which of the following may shift the labor supply curve?

A) an increase in the wage rate

B) an increase in the value people place on their time

C) an increase in the price of the output of the firm

D) an increase in the corporate tax rate

17) An increase in the productivity of workers shifts the labor ________ curve to the ________.

A) supply; left

B) supply; right

C) demand; right

D) demand; left

18) A decrease in worker productivity

A) reduces the demand for labor.

B) increases the demand for labor.

C) reduces the supply of labor.

D) increases the supply of labor.

19) Martin is not employed. The value Martin places on his leisure time is $30 an hour. Martin looks for a job and all the offers he has are for less than $30 an hour. Martin should supply

A) exactly 40 hours per week in the labor market.

B) between 0 and 20 hours per week in the labor market.

C) between 20 and 40 hours per week in the labor market.

D) 0 hours in the labor market.

20) Lisa is currently not employed. She places a value of $12 an hour on her time in nonmarket activities. If Lisa is offered a job paying $17 an hour,

A) she should supply 0 hours in the labor market and allocate all of her time to nonmarket activities.

B) she should supply a positive number of hours in the labor market and allocate no time to nonmarket activities.

C) she should supply a positive number of hours in the labor market and to nonmarket activities.

D) she is indifferent between supplying hours to the labor market and using her time in nonmarket activities.