Consider this quote from an article in the Wall Street Journal: The stock of educated workers isn't increasing fast enough to keep up with rising demand....
Employers are paying the typical four-year college graduate without graduate school 75 more than they pay high-school grads. Twenty-five years ago, they were paying 40 more. Employers insist on ever better-educated, skilled workers.
Source: David Wessel, Lack of Well-Educated Workers Has Lots of Roots, No Quick Fix, Wall Street Journal, April 19, 2007, A) The demand for high-school educated workers shifted to the left faster than the supply of college educated workers shifted to the right.
B) The supply of high-school educated workers shifted to the right faster than the demand for college educated workers shifted to the right.
C) The demand for college educated workers shifted to the right faster than the supply of college educated workers shifted to the right.
D) The demand for college educated workers shifted to the right while the supply of college educated workers shifted to the left.
Question 2
Which of the following statements is true?
A) GDP growth distributes income equally to people in the economy.
B) GDP accounting rules do not adjust for production that pollutes the economy.
C) A decrease in the crime rate increases GDP as people will spend more on security.
D) Household production is counted in GDP as it amounts to real production.
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