Show the likely effects on price- and/or wage-setting behaviour as reflected in the WS/PS diagram of the following: (a) workers become more worried about losing their jobs at any given level of employment (b) the government intervenes to protect domestic rms from foreign competition. (c) higher social security contributions paid by employers. (d) a reduction in the proportion of employees covered by union wage agreements (e.g. as the result of a decline in industries in the economy that are heavily unionized)

Show the likely effects on price- and/or wage-setting behaviour as reflected in the WS/PS diagram of the following: (a) workers become more worried about losing their jobs at any given level of employment (b) the government intervenes to protect domestic rms from foreign competition. (c) higher social security contributions paid by employers. (d) a reduction in the proportion of employees covered by union wage agreements (e.g. as the result of a decline in industries in the economy that are heavily unionized)

Economics For Today

10th Edition

ISBN:9781337613040

Author:Tucker

Publisher:Tucker

Chapter11: Labor Markets

Section: Chapter Questions

Problem 13SQ

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