The table shows the demand for labor and supply of labor schedules for low-skilled workers. If the labour market is competitive, what is the wage rate of low-skilled labor and what is the quantity of low-skilled labor employed?

$4 an hour; 70 hours a day
$4 an hour; 55 hours a day
$6 an hour; 65 hours a day
$6 an hour; 60 hours a day

The low-skilled workers in the table can be trained. After training, the marginal productivity of the newly trained labor increases by 2.5 times. The compensation for the cost of acquiring skill adds $4.50 an hour to the wage that must be offered to attract newly trained labor. At a wage rate of $10 per hour, _______ hours a day are demanded.

70
60
50
40

The low-skilled workers in the table can be trained. After training, the marginal productivity of the newly trained labor increases by 2.5 times. The compensation for the cost of acquiring skill adds $4.50 an hour to the wage that must be offered to attract newly trained labor. What is the wage rate of newly trained labor and what is the quantity of newly trained labor employed?

$12.50 an hour; 65 hours a day
$20.00 an hour; 50 hours a day
$10.50 an hour; 60 hours a day
$6.00 an hour; 60 hours a day

The table shows the demand for labor and supply of labor schedules in a competitive labor market. If the workers become unionized and the union restricts the hours worked to 1,000 per day, the wage rate will ________________.

increase by between $15 and $20 an hour
increase by $25 an hour
not change
increase by $5 an hour

The table shows the demand for labor and supply of labor schedules in a competitive labor market. If the workers become unionized and the union restricts the hours worked to 1,000 per day, employment ______________ hours a day. It is in the best interest of union members to ________________.

increases by 500; increase their marginal product
increases by 250; oppose minimum wage laws
decreases by 250; oppose import restrictions
decreases by 250; increase their marginal product

The workers at Fred's Fish Factory, a factory that packages salmon, join a union. As a result, some employees lose their jobs. As these employees enter the nonunion labor market, the ____________ nonunion workers _______ and the wage rate paid to nonunion labor ___________.

supply of; does not change; remains the same
demand for; increases; rises
supply of; decreases; rises
supply of; increases; falls

When, in a monopsony, the minimum wage is increased above the equilibrium wage rate, employment ___________ and total income ____________.

remains unchanged; does not change
decreases; might increase, decrease, or remain constant
increases; always increases
increases; might increase, decrease, or remain constant

Anthony's Accountants is the only employer of accountants in the island of Fairisle. The table gives the demand and supply of accountants on Fairisle. The marginal cost of hiring a sixth accountant is _____ an hour.

$50
$65
$30
$55

Anthony's Accountants is the only employer of accountants in the island of Fairisle. The table gives the demand and supply of accountants on Fairisle. Anthony's hires ________ accountants a day and pays a wage rate of _______ an hour.

4; $40
5; $45
6; $30
4; $20

Anthony's Accountants is the only employer of accountants in the island of Fairisle. The table gives the demand and supply of accountants on Fairisle. If the market for accountants were perfectly competitive instead of a monopsony, Anthony's would hire _______ accountants and the wage rate would _______ an hour.

more; decrease by $10
fewer; decrease by $10
fewer; increase by $20
more; increase by $10

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