60 688
Assignments Done
97,9%
Successfully Done
In April 2018

Answer to Question #48532 in Microeconomics for Yoyo

Question #48532
In the short-run, a decrease in the wage rate paid by the firms making up a perfectly competitive industry has no effect in the output market. Explain why the statement is True, False, or Uncertain according to economic principles.
Expert's answer
Statement is true, because there is a lack of coordination in the behavior of firms and workers.  And a certain length of employment contracts and contracts for the supply of raw materials and finished products does not allow changing sharply the number of output.

Need a fast expert's response?

Submit order

and get a quick answer at the best price

for any assignment or question with DETAILED EXPLANATIONS!

Comments

No comments. Be first!

Leave a comment

Ask Your question

Submit
Privacy policy Terms and Conditions