If union officials are able to increase wages through collective bargaining, _____.
A)the quantity of union labor demanded will increase, as firms will want to hire more workers
B)the workers who already have jobs will benefit, but some equally skilled workers will be worse off
C)there will be a leftward shift of the labor supply curve and a rightward shift of the demand for labor curve
D)the quantity of union labor supplied will decrease because unionized workers will prefer leisure over more work
E)there will be a huge decline in wage rates in the long run

Question

Quizplus · Accepted Answer

When wages increase through collective bargaining, the workers who already have jobs will benefit because they will receive higher pay. However, some equally skilled workers who are not unionized may be worse off, as firms may choose to hire the cheaper non-unionized workers instead. This can lead to a decrease in the quantity of union labor demanded.

If Union Officials Are Able to Increase Wages Through Collective