Which of the following statements regarding labor supply is false?
a. Jerry's labor supply curve can bend backward if the income effect of a higher wage rate outweighs the substitution effect.
b. Bob's labor supply curve will not bend backward if the wage rate is never so high that the income effect outweighs the substitution effect.
c. If there is a wage rate above which the income effect is at least as great as the substitution effect, the labor supply curve will be vertical or bend backward.
d. The labor supply curve will slope upward if the income effect dominates the substitution effect.
e. Hayden's offer to work more hours as the result of a wage increase suggests that the substitution effect dominates the income effect.
Question 2
Of the following, which group has the fastest-growing population in the United States?
a. female heads of households
b. male heads of households
c. white heads of households
d. black heads of households
e. single people
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