WAEC Economics 2020 Objective — Question 26
Question 26 of 50 from the West African Examinations Council (WAEC) Economics 2020 Objective paper, with the correct answer and a full explanation.
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In the long run, as individuals receive higher wages, it causes
- A. demand for food to decrease
- B. demand for leisure to decrease
- C. supply of normal goods to decrease
- D. supply of labour to decreaseCorrect
Explanation
As wages rise substantially, workers may prefer more leisure time over additional income, reducing the supply of labour (backward-bending supply curve of labour).
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