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    Modern Labor Economics
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    Exam 6: Supply of Labor to the Economy: The Decision to Work
  5. Question
    Through the Substitution Effect,a Decrease in the Wage Rate Will
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Through the Substitution Effect,a Decrease in the Wage Rate Will

Question 17

Question 17

Multiple Choice

Through the substitution effect,a decrease in the wage rate will cause ________ in the quantity of leisure desired.


A) an increase
B) a decrease
C) no change
D) an ambiguous change

Correct Answer:

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