Assume immigrant labor is a substitute of native labor. Which of the following is true? Native workers benefit from a more elastic labor supply Employers benefit from a less elastic labor supply The post-immigration equilibrium wage is higher if the labor supply is the more inelastic Native workers work in occupations immigrants don’t have access to

Survey Of Economics
10th Edition
ISBN:9781337111522
Author:Tucker, Irvin B.
Publisher:Tucker, Irvin B.
Chapter10: Labor Markets And Income Distribution
Section: Chapter Questions
Problem 8SQ
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  1. Assume immigrant labor is a substitute of native labor. Which of the following is true?
    1. Native workers benefit from a more elastic labor supply
    2. Employers benefit from a less elastic labor supply
    3. The post-immigration equilibrium wage is higher if the labor supply is the more inelastic
    4. Native workers work in occupations immigrants don’t have access to

 

  1. What is the main advantage of the earned income tax credit for the overall economy?
    1. It increases females’ wages
    2. It increases job creation
    3. It does not lead to a large drop in the labor supply of low-income workers
    4. All of the above
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