Resource Prices and Utilization - ECON 2302
Some unions:
- Seek to increase wages by increasing the demand for the products they produce. - Organize individual workers by their trades.
Inclusive Union
A group formed by marginal all workers in a specific industry into a single bargaining group, which aims to increase the wages and benefits of its members.
The union-negotiated wage is a price _____ in the market for the union members' labor.
Floor
_____ the marginal product of labor; _____ the labor _____, causing employment to _____ and wages to _____; and cause the marginal cost for the firm to _____.
Increase; ______; demand; _____; ______;______
If a firm in a noncompetitive market wants to sell more units, it must ________ the price for every unit it sells.
Lower
A decrease in labor productivity ______ the demand for labor, resulting in _____ wages and employment.
Lowers; lower
A decrease in product price _____ the demand for labor, resulting in _____ wages and employment.
Lowers; lower
The additional output produced as a result of utilizing one more unit of a variable resource is the _____ product.
Marginal
The actual number of dollars received in exchange for one's labor is the _____ wage.
Nominal
The actual number of dollars received in exchange for ones' labor is the _____ wage.
Nominal
For firms operating in _______ competitive markets, if the price of a product is constant, the marginal revenue product is equal to the marginal _____ times the _____.
Perfectly; product; price
Purchasing _____ is the value of a monetary amount expressed in terms of the goods and services it can buy.
Power
If a firm in a noncompetitive market wants to sell more units, it must lower the _____ for every unit it sells.
Price
The real wage is the wage adjusted for _____.
Prices
The marginal revenue ______ represents the additional revenue generated from using an additional unit of resource.
Product
The total amount of output produced with a given amount of resources is known as the total _____.
Product
The _____ wage is the wage adjusted for prices.
Real
When determining where to work or which job to take, the wage that should be considered is the:
Real wage
When determining where to work or which job take, the wage that should be considered is the:
Real wage.
The _____ wage is the quantity of goods and services that can be bought with the purchasing power of ones' _____ wage.
Real; normal
In the market for labor, households are on the _____ side, and firms are on the _____ side.
Supply; demand
Price floors create a ______ in the market, because the price is above equilibrium.
Surplus
Nominal Wage
The actual number of dollars received in exchange for one's labor.
Marginal Product of Labor (MPL)
The additional output produced with another unit of labor.
Maringal Revenue Product (MRP)
The additional revenue generated as a result of utilizing 1 more unit of a variable resource (e.g., labor or capital).
The marginal revenue product depends on:
The marginal product and the price of the product the resource produces.
For firms operating competitive markets, if the price of a product is constant, the marginal revenue product is equal to:
The marginal product times the price.
For firms operating in perfectly competitive markets, if the price of a product is constant, the marginal revenue product is equal to:
The marginal product times the price.
Real Wage
The quantity of goods and services that can be bought with (the purchasing power of) one's nominal wage.
Purchasing Power
The value of a monetary amount expressed in terms of the goods and services it can buy.
Purchasing power is:
The value of a monetary amount expressed in terms of the goods and services it can buy.
The objective of each _____ is to increase the wages earned by its members.
Union
Despite the decrease in union membership:
Unions are still effective at increasing the wages of their members.