28.)In a competitive labor market, if the supply of labor decreases how will the equilibrium wage...

28.)In a competitive labor market, if the supply of labor decreases how will the equilibrium wage rate and employment change?
Wage Rate Employment
a.) Increase Increase
b.) Increase Decrease
c.) Decrease Increase
d.) Decrease Decrease
e.) No change Decrease

29.)How will a decrease in demand for computer repairs impact the demand and wage rate for skilled computer technicians?
Wage Rate Employment
a.) Decrease Decrease
b.) No change Decrease
c.) Increase Decrease
d.) Increase Increase
e.) No change Increase

30.)Which of the following can shift the factor demand curve to the left in a competitive market?
I. a decrease in the price of the good produced
II. a decrease in the factor's marginal productivity
III. a technological advance

a.)I only
b.)II only
c.)III only
d.)I and II only
e.)I, II, and III

Solutions

Expert Solution

28) b

Wage rate increases and employment decreases

29) a

Decrease in demand for computer repairs leads to decrease in demand for labor that leads to decrease in wages.

30) d

I and Ii decrease the demand for labor

Rahul Sunny answered 1 year ago

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