Question

He equilibrium wage for grocery store cashiers is $15 per hour. Sam’s Supermarket just opened, and Sam is planning to hire dock workers to unload food from trucks. He plans to pay them $15 per hour. Relative to working as a cashier, being a dock worker is more dangerous and requires workers to work odd hours. What do we expect to happen?

a) Dock workers will demand higher pay.
b) Dock workers will accept the same pay.
c) Dock workers will work for lower pay.
d) Dock workers will demand shorter hours.

Answer 1

Dock workers are expected to demand higher pay due to the increased risks and challenging working conditions compared to grocery store cashiers.

Step-by-step explanation:

In this scenario, we can expect that dock workers will demand higher pay. This is because being a dock worker is more dangerous and requires workers to work odd hours compared to being a grocery store cashier. The equilibrium wage for grocery store cashiers is $15 per hour. Sam's Supermarket plans to pay dock workers the same wage of $15 per hour, but considering the added risks and challenging working conditions, dock workers will likely demand higher pay to compensate for the increased hazards and inconveniences.