Question:

Can anyone help with these Economics Questions please?

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QUESTION 1) When leisure is a normal good, the income effect from an increase in wages is manifest in...

A. a desire to consume more leisure.

B. a desire to consume less leisure.

C. the backward-bending portion of labor supply.

D. a shift in labor demand.

QUESTION 2) The liberalism doctrine suggests that the focus of social policy would be to...

A. elevate the well-being of all workers.

B. elevate the well-being of those at the bottom of the income distribution.

C. ensure an egalitarian distribution of income.

D. expropriate the factors of production from the capitalist class.

QUESTION 2) Employers who operate in competitive product markets and choose to practice discrimination in hiring workers..

A. will survive if they increase production and garner a larger market share.

B. will eventually earn zero economic profits.

C. are likely to eventually go out of business.

D. will survive as long as they’re willing to have a smaller market share.

THANKS!

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3 ANSWERS


  1. No..that's not a great idea.

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  2. It's been a few years since my Economics degree but

    1) is surely A) as the key there I would think is "normal good" and demand for normal goods should increase when income increases. The others look like decoy answers.

    2) No idea, looks more like sociology than the economics I remember. 3) Is this real? It doesn't sound like an economics question at all. There are way too many assumptions at work on this one. Very unscientific. I would suggest C as this seems to be the ideological answer being sought.

    Probably not much help, eh?

  3. Question 1. It sounds like A is the most plausible answer.

    Question 2. B sounds most plausible because liberalism emphasizes individual rights and equality of opportunity.

    Question 3. D, because they can lose customers but gain customers of the same race.

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