Use the graph to answer the question about the labor resource market faced by producers of good X. What will shift D ₁ to D ₂?
A)an increase in the price of a substitute input (if output effect substitution effect)
B)a decrease in the price of a substitute input (if substitution effect output effect)
C)a decrease in the price of a substitute input (if output effect substitution effect)
D)an increase in the price of a complementary resource

Question

Use the graph to answer the question about the labor resource market faced by producers of good X. What will shift D ₁ to D ₂?
A)an increase in the price of a substitute input (if output effect > substitution effect) 
B)a decrease in the price of a substitute input (if substitution effect > output effect) 
C)a decrease in the price of a substitute input (if output effect > substitution effect) 
D)an increase in the price of a complementary resource

Quizplus · Accepted Answer

The Answer of  Use the graph to answer the question about the labor resource market faced by producers of good X. What will shift D ₁ to D ₂?
A)an increase in the price of a substitute input (if output effect > substitution effect) 
B)a decrease in the price of a substitute input (if substitution effect > output effect) 
C)a decrease in the price of a substitute input (if output effect > substitution effect) 
D)an increase in the price of a complementary resource

Use the Graph to Answer the Question About the Labor