An individual’s labour supply curve is positively sloped when: (2) (1) The substitution effect of a wage increase is positive; (2) The substitution effect is greater than the income effect; (3) The income effect of wage increase is negative; (4) The substitution effect is less than the income effect.

An individual’s labour supply curve is positively sloped when: (2) (1) The substitution effect of a wage increase is positive; (2) The substitution effect is greater than the income effect; (3) The income effect of wage increase is negative; (4) The substitution effect is less than the income effect.

Exploring Economics

8th Edition

ISBN:9781544336329

Author:Robert L. Sexton

Publisher:Robert L. Sexton

Chapter16: The Markets For Labor, Capital, And Land

Section: Chapter Questions

Problem 8P

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