Question : 11) How does the supply curve of high-skilled workers compare : 1241418

11) How does the supply curve of high-skilled workers compare to the supply curve of low-skilled workers?

A) Because skills are costly to acquire, at a given wage rate the quantity supplied of high-skilled workers is greater than that of low-skilled workers.

B) Because skills are costly to acquire, at any given wage rate the quantity supplied of high-skilled workers is less than that of low-skilled workers.

C) Because skills are inexpensive to acquire, at any given wage rate the quantity supplied of high-skilled workers is less than that of low-skilled workers.

D) Because skills are inexpensive to acquire, at any given wage rate the quantity supplied of high-skilled workers is greater than that of low-skilled workers.

E) None of the above answers is correct.

12) What determines the position of the supply curve of high-skilled workers relative to that of low-skilled workers?

A) the cost of acquiring the skill

B) the difference in the demand curves for the two groups

C) Bureau of Labor Standard guidelines

D) the difference in the value of the marginal products

E) None of the above answers is correct.

13) The ________ distance between the supply curve of low-skilled labor and the supply curve of high-skilled labor is the ________.

A) horizontal; value of marginal product of skill

B) horizontal; compensation for cost of acquiring skill

C) vertical; value of marginal product of skill

D) vertical; compensation for cost of acquiring skill

E) vertical; difference in the price of the product produced b y high-skilled labor minus the price of the product produced by low-skilled labor

14) The higher the cost of acquiring skills, the ________ are the high-skilled and low-skilled labor ________ curves.

A) closer together; demand

B) farther apart; demand

C) closer together; supply

D) farther apart; supply

15) Pete just started a new job as an assembler and is earning a wage of $10 per hour. Sam, who is an experienced assembler assigned to train Pete, earns $15 per hour. The opportunity cost to Pete of acquiring this skill is

A) $25 per hour.

B) $15 per hour.

C) $10 per hour.

D) $5 per hour.

E) $0 per hour because Pete is being paid a wage.

16) High-skilled workers earn more relative to low-skilled workers because the demand for high-skilled workers is ________ that for low-skilled workers and the supply is ________ that for low-skilled workers.

A) greater than; greater than

B) greater than; lower than

C) lower than; greater than

D) lower than; lower than

E) greater than; the same as

17) The demand curve for high-skilled workers lies ________ the demand curve for low-skilled workers and the supply curve of high-skilled workers lies ________ the supply curve of low-skilled workers.

A) above; above

B) above; below

C) below; above

D) below; below

E) above; on

18) High-skilled workers earn more than low-skilled workers in part because the high-skilled workers have

A) a higher value of marginal product.

B) a lower value of marginal product.

C) better health.

D) fewer deductions.

E) a greater supply than do low-skilled workers.

19) Compared to low-skilled workers, high-skilled workers have a ________ value of marginal product and ________ opportunity cost of obtaining their skills.

A) higher; a higher

B) higher; a lower

C) lower; a higher

D) lower; a lower

E) higher; the same

20) The ________ the value of marginal product of skill, the ________.

A) smaller; larger is the wage differential between low-skilled workers and high-skilled workers

B) larger; more elastic the supply curve of labor

C) larger; larger is the wage differential between low-skilled workers and high-skilled workers

D) smaller; less elastic the supply curve of labor

E) smaller; larger is the cost of acquiring the skill