Chapter 8 & 9 Test Questions

What percentage of the total compensations in the US economy today is composed of benefits?

28 percent

What percentage of adult women are in the work force today?

60 percent

Which of the following is an example of a merger?

A company combines with a company that supplies it with raw materials

Which of the following most accurately describes the change in average weekly earnings since 1980?

Average weekly earnings have risen for college-educated workers

What was one reason union membership rose in the 1930s?

Congress passed pro-union laws.

Why are U.S. firms moving manufacturing jobs overseas?

Labor costs less overseas

How have the earnings of US workers changed over the last 20 years?

Wages of college graduates only have gone up

Which of the following people is considered part of the labor force?

a person who has lost a job but is looking for one

Which of the following people is likely to earn the highest wage?

a professional worker

In a limited liability partnership, all partners

are limited from personal liability in certain situations

Which of the following jobs is expected to double in the next few years?

computer engineer

Another name for temporary work is

contingent employment

Most large businesses are

corporations

Which of the following jobs was held by most workers in the United States at the founding of the country?

farm worker

What is one reason many firms hire temporary workers to do a particular job?

flexible work arrangements

What type of work is growing fastest in the United States?

information-related

Liability is the

legal obligation to pay debts

Collective bargaining means that

represents of unions and companies negotiate new contracts

One of the ways a corporation can raise money is by

selling stock on the stock market

The most important decisions in a corporation are made by

the board of directors

What is meant by productivity?

the level of output produced

The most common form of business organization is

the sole proprietorship

In return for a fee to a franchiser, a business owner receives the right

to sell the franchiser's goods and services

A labor union is an organization that

tries to improve wages and benefits for its members

A partnership is a business organization owned by

two or more individuals

When is there an equilibrium wage?

when there is no excess in the demand

Museums, public schools, and YMCAs are all

exempt from paying income taxes.