Question : 11.3 Wage Inequality 1) Which of the following NOT a factor : 1377478

Economics

11.3 Wage Inequality

1) Which of the following is NOT a factor that can cause wage inequality across workers producing the same good?

A) Differences in compensating wages

B) Differences in productivity and human capital

C) The nature and extent of discrimination in the job market

D) The market price of the final good being produced by the workers

2) A person’s stock of skills to produce economic value is referred to as:

A) fixed capital.

B) human capital.

C) personal wealth.

D) personal capital.

3) Sarah is a high school graduate and James is a college graduate. Which of the following statements is true?

A) Sara is likely to have more human capital than James.

B) James is likely to have more human capital than Sara.

C) Both Sara and James are likely to earn the same wage in the labor market.

D) Both Sara and James are likely to have the same amount of human capital.

4) Sandra has been working as a software engineer for five years and Jack has been working as a software engineer for two years. Which of the following statements is true of Sandra and Jack?

A) Sandra is likely to earn lower wages than Jack.

B) Sandra is likely to earn the same wage as Jack.

C) Sandra is likely to be more productive at work than Jack.

D) Sandra is likely to be equally productivity at work as Jack.

5) Which of the following statements is true?

A) Firm-specific human capital adds to productivity in only one firm.

B) Firm-specific human capital is equally productive in all industries in an economy.

C) Firm-specific human capital is equally productive in all firms in a particular industry.

D) Industry-specific human capital is equally productive in all industries in an economy.

6) Which of the following is a likely reason for wage inequality between men and women?

A) Men generally tend to have higher education qualifications than women.

B) Women generally tend to have higher educational qualifications than men.

C) Men tend to spend more time out of the labor force as compared to women.

D) Women tend to spend more time out of the labor force as compared to men.

7) Which of the following statements is true?

A) A worker who undertakes general training is likely to earn above his value of marginal product.

B) Firm-specific training results in gains to a worker and not to an employer in the labor market.

C) Job-specific training results in gains to a worker’s employer, but it does not result in gains to the worker in the labor market.

D) Training received by a worker does not affect his wages as wage rates are determined by the forces of demand and supply in the labor market.

8) Which of the following statements is true?

A) Firm-specific training results in losses to a worker.

B) Firm-specific training results in losses to a worker’s employer.

C) A worker is more likely to pay for firm-specific training than for general training.

D) A worker is more likely to pay for general training than for firm-specific training.

9) A compensating wage differential is a wage premium paid in order to:

A) recognize a more efficient employee.

B) attract workers who have a family to support.

C) improve the goodwill of a firm hiring workers.

D) attract workers to otherwise undesirable occupations.

10) Which of the following statements is true?

A) Lower wages are normally offered for jobs with better amenities.

B) Jobs that are relatively risky pay a lower wage than other safer jobs.

C) Educational qualifications and wage rates are negatively correlated.

D) Incentives are normally higher for desirable occupations in comparison to undesirable occupations.

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July 1, 2023

61.When there is a shortage in a market, prices are likely to:

A. Fall because buyers do not wish to buy as much as sellers want to sell.

B. Rise because some buyers will offer to pay a higher price.

C. Fall because sellers are likely to reduce their production if prices rise.

D. Rise because the government will put a price ceiling in place.

62.If a market shortage exists:

A. The invisible hand will work to reduce the price.

B. The only solution is for the government to raise the price.

C. Producers will compete for customers by reducing prices.

D. Consumers will compete for the product by offering to pay more.

63.A market surplus occurs when:

A. People cannot buy the amount of goods and services that they are willing and able to buy.

B. The price is less than the equilibrium price.

C. The quantity supplied exceeds the quantity demanded at a given price.

D. There is a price ceiling.

64.When there is a surplus in a market, prices are likely to fall because:

A. Buyers do not wish to buy as much as sellers want to sell.

B. Some buyers will offer to pay a higher price, initiating a move up the supply curve.

C. Sellers are likely to increase their production.

D. Buyers will wait for the government to establish a price floor.

65.If a market surplus exists:

A. The only resolution is for the government to set the price.

B. Consumers will compete for the product buy offering to pay more.

C. Producers will compete for customers by reducing prices.

D. The equilibrium price is equal to the price ceiling.

66.If demand is constant, a decrease in the supply of gasoline will cause the equilibrium price:

A. To rise and quantity to fall.

B. And quantity both to rise.

C. To fall and quantity to rise.

D. And quantity both to fall.

67.If demand is constant, a leftward shift in the supply curve will result in:

A. A decrease in equilibrium quantity and a lower equilibrium price.

B. An increase in equilibrium quantity and a lower equilibrium price.

C. A decrease in equilibrium quantity and a higher equilibrium price.

D. An increase in equilibrium quantity and a higher equilibrium price.

68.The price of chocolate candy bars rises. This could be due to:

A. A decrease in the wage rate paid to workers in the candy bar factories.

B. A decrease in the cost of chocolate, which is used to produce candy bars.

C. A subsidy by the federal government for the producers of chocolate candy bars.

D. A decrease in the number of chocolate candy bar producers.

69.If demand is unchanged, a rightward shift in the supply curve for plasma TVs will cause:

A. A decrease in equilibrium quantity and a higher equilibrium price.

B. An increase in equilibrium quantity and a higher equilibrium price.

C. An increase in equilibrium quantity and a lower equilibrium price.

D. A decrease in equilibrium quantity and a lower equilibrium price.

70.Which of the following would cause a decrease in the price of automobiles?

A. A technological advance in automobile manufacturing.

B. An increase in the wages paid to automobile assembly line workers.

C. A decrease in the cost of gasoline.

D. An increase in the number of buyers.