Author Question: If the price of labor falls, we can expect: a. demand for labor will increase. b. quantity ... (Read 50 times)

skymedlock · **on:** Jun 30, 2018

If the price of labor falls, we can expect:
a. demand for labor will increase.
b. quantity demanded of labor will increase.
c. demand for labor will decrease.
d. quantity demanded of labor will decrease.
e. marginal factor cost to rise in a competitive market.

Question 2

A change in government purchases has the greatest effect on the economy in the short run when _____.
a. the aggregate demand curve is relatively flat.
b. the aggregate demand curve is relatively steep.
c. the short-run aggregate supply curve is relatively flat.
d. the aggregate demand curve is vertical.
e. the short-run aggregate supply curve is vertical.