Which of the following can increase simultaneously the equilibrium quantity of workers hired and the equilibrium wage rate?
A) a decrease in the productivity of workers
B) a decrease in the rate of immigration
C) an increase in the price level of goods
D) an increase in the number of workers of retiring age

Question

Quizplus · Accepted Answer

An increase in the price level of goods can lead to higher demand for goods, which can increase the demand for labor, raising both the equilibrium quantity of workers hired and the equilibrium wage rate.

Which of the Following Can Increase Simultaneously the Equilibrium Quantity