Question

The demand for labor is described as a derived demand because :A) it is derived by workers seeking to earn income to fund the consumption of goods and services.B) it is derived by producers seeking to make profits by starting new businesses.C) it is derived from government institutions which rely on labor markets for the purpose of raising tax revenue.D) it is derived from the demand for products that use labor in the production process.

Answer 1

D) it is derived from the demand for products that use labor in the production process.

Step-by-step explanation:

When consumers want a product, demand for that product goes up. Since you need labor to make that product, demand for the labor goes up as well. They are connected, so one is derived from (comes from) the other.

Answer 2

Answers-

In the market for labor, demand describes

The relationship between the quantity of labor that firms are willing to hire and the wage that they are willing to pay.

The derived demand for labor comes from the

Demand for the goods and services that the labor produces.

Olivia is considering working a secretary job for a small law firm. Given the opportunity costs of working the job, she will not accept a wage less than $12 per hour. Which of the following is likely to raise Olivia's reservation wage?

Olivia learns that the job is more challenging than she initially thought.

Which of the following is the substitution effect?

As wages increase, an individual's leisure becomes more costly, making him less likely to choose leisure over labor.

In response to a lack of qualified nurses in the area, a state government has funded a campaign to increase the number of high school graduates interested in nursing careers. If successful, the campaign would

Shift the labor supply curve to the right.