The table shows the relationship between leisure and real GDP in the country of Progress. The citizens of Progress have 400 billion hours each year to spend between leisure and labour. If the quantity of labour increases from 100 billion hours to 150 billion hours a year, real GDP __________________.

equals $9.0 trillion
increases by $0.5 trillion
decreases by $0.5 trillion
increases by $2.0 trillion

The table shows the relationship between leisure and real GDP in the country of Progress. The citizens of Progress have 400 billion hours each year to spend between leisure and labour. When the citizens of Progress decide to increase leisure, the marginal product of labour ______________.

decreases
increases
does not change
might increase or decrease

The table shows the relationship between leisure and real GDP in the country of Progress. The citizens of Progress have 400 billion hours each year to spend between leisure and labour. If the quantity of labour increases from 200 billion hours to 250 billion hours a year, the marginal product of labour is __________.

$15 an hour
$1.5 trillion
$1.0 trillion
$20 an hour

The table shows the relationship between leisure and real GDP in the country of Progress. The citizens of Progress have 400 billion hours each year to spend between leisure and labour. When the real wage rate in Progress is $15 an hour, the quantity of labour demanded is ____________________ a year.

200 billion hours
225 billion hours
250 billion hours
150 billion hours

The table shows the labour market for the country of Pickett. When the labour market is in equilibrium, the real wage rate is ________________ and _________ of labour a year are employed.

any value less than $25 an hour; any value greater than 40 billion hours
any value greater than or equal to $25 an hour; any value less than 40 billion hours
any value greater than $25 an hour; 40 billion hours
$25 an hour; 40 billion hours

The table shows the labour market for the country of Pickett. At a real wage rate that results in job rationing, job search _________ and _________.

increases; a shortage of labour exists
decreases; unemployment increases above the natural rate
increases; unemployment increases above the natural rate
decreases; a shortage of labour exists

The tables show the labour market and the production function schedule for the country of Pickett. Potential GDP is ______________.

$25 trillion
$6 trillion
$40 trillion
$14 trillion

The table shows the labour market and the production function schedule for the country of Pickett. An increase in population changes the labour supply by 20 billion hours at each real wage rate. Potential GDP ____________.

increases to $50 trillion
does not change
increases to $18 trillion
decreases to $3 trillion

When an advance in technology occurs, ________________________.

the labour demand curve shifts leftward because fewer workers are hired
the labour demand curve and the labour supply curve both shift rightward
the labour demand curve shifts rightward and the production function shifts upward
a movement along the labour demand curve occurs

When the real wage rate is less than the equilibrium wage rate, job search _________ and unemployment __________________the natural rate.

decreases; is less than
decreases; is greater than
increases; equals
increases; is greater than

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