Which of the following statements describes the supply or demand curves for labor?(1 point)

Question

Responses

Businesses generally demand a higher quantity of labor as wages decrease.
Businesses generally demand a higher quantity of labor as wages decrease.

The graph of the supply curve for labor decreases going from left to right.
The graph of the supply curve for labor decreases going from left to right.

The graph of the curve for market demand for labor increases going from left to right.
The graph of the curve for market demand for labor increases going from left to right.

Businesses generally demand a higher quantity of labor as wages increase.

Answer 1

The correct statement that describes the demand curve for labor is:

Businesses generally demand a higher quantity of labor as wages decrease.

This reflects the law of demand, which states that as the price of a good or service (in this case, labor, represented by wages) decreases, the quantity demanded generally increases.

The other options are incorrect:

• The supply curve for labor typically slopes upward from left to right, meaning that as wages increase, the quantity of labor supplied generally increases.
• The demand curve for labor typically slopes downward from left to right, meaning that as wages decrease, the quantity of labor demanded increases.
• The last option contradicts the law of demand, as businesses generally demand less labor as wages increase.