Author Question: The presence of efficiency, minimum and union wages A) can explain job rationing because they ... (Read 36 times)

sabina · **on:** Jun 29, 2018

The presence of efficiency, minimum and union wages

A) can explain job rationing because they lower the real wage rate below equilibrium.
B) does not affect job rationing because they affect only the amount of job search.
C) can explain job rationing because they raise the real wage rate above equilibrium.
D) can explain job rationing because they lower the natural unemployment rate.
E) cannot explain job rationing because they are a natural part of the economy.

Question 2

According to this Application, for approximately 12 million homeowners in 2012, the amount owed on mortgages was higher than the actual value of the homes. These homeowners used borrowed funds to purchase their homes, a practice known as

A) acceleration. B) securitization. C) leverage. D) liquidity.