2. Explain why even if U.S. wages are higher than foreign wages, if U.S. labor is more productive than foreign labor, U.S. labor can still be competitive. 3. Identify the advantages and disadvantages of a minimum wage law that raises the wage rate above the market equilibrium level. 4. Describe the methods used by unions to increases the wages of their members and the factors that give a union strength. 5. Explain why domestic workers are often fearful of imported goods and liberal immigration policies. Key Concept Quiz derived demand a. additional output from hiring each worker marginal product of labor _____ b. forces all employees to join the recognized union within a specified time demand curve for labor _____ c. a price floor transplants _____ d. demand for labor mediation _____ e. the value of the marginal product of labor arbitration _____ f. increase in revenue to a firm from hiring an shock effect additional worker strikes _____ g. when unions act on behalf of workers to negotiate minimum wage with employers collective bargaining _____ h. cannot be called unless a majority supports it shop _____ i. can mitigate the adverse effects of a minimum wage value of marginal product of labor _____ j. when labor and management receive outside help _____ k. a process that labor and management may agree to when mediation fails _____ l. are non-union Multiple Choice Questions When wages of apple pickers rise, fewer apple pickers are demanded because consumers purchase fewer apples as apples become more expensive producers switch to substitute resources all of the above consumers prefer lower wages Pizza Hut will stop hiring delivery workers when the value of the marginal product of such labor equals the wage rate
2. Explain why even if U.S. wages are higher than foreign wages, if U.S. labor is more productive than foreign labor, U.S. labor can still be competitive. 3. Identify the advantages and disadvantages of a minimum wage law that raises the wage rate above the market equilibrium level. 4. Describe the methods used by unions to increases the wages of their members and the factors that give a union strength. 5. Explain why domestic workers are often fearful of imported goods and liberal immigration policies. Key Concept Quiz derived demand marginal product of labor demand curve for labor transplants mediation arbitration shock effect strikes minimum wage collective bargaining shop value of marginal product of labor a. additional output from hiring each worker _____ b. forces all employees to join the recognized union within a specified time _____ c. a price floor _____ d. demand for labor _____ e. the value of the marginal product of labor _____ f. increase in revenue to a firm from hiring an additional worker _____ g. when unions act on behalf of workers to negotiate with employers _____ h. cannot be called unless a majority supports it _____ i. can mitigate the adverse effects of a minimum wage _____ j. when labor and management receive outside help _____ k. a process that labor and management may agree to when mediation fails _____ l. are non-union Multiple Choice Questions When wages of apple pickers rise, fewer apple pickers are demanded because consumers purchase fewer apples as apples become more expensive producers switch to substitute resources all of the above consumers prefer lower wages Pizza Hut will stop hiring delivery workers when the value of the marginal product of such labor equals the wage rate
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