Fiona's hourly wage decreases from $10 to $8. Which of the following describes a consequence of the decrease in Fiona's wage?
A)The opportunity cost of Fiona's leisure time has decreased.
B)Fiona may choose to work more hours due to the decrease in her wage.
C)Fiona may choose to work fewer hours due to the decrease in her wage.
D)All of the above are correct.

Question

Quizplus · Accepted Answer

A decrease in wage reduces the opportunity cost of leisure, potentially leading Fiona to work more or fewer hours depending on her preferences, making all options possible consequences.

Fiona's Hourly Wage Decreases from $10 to $8