Asked by

Aidan Ellison
on Dec 10, 2024

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Which of the following is most likely to occur if a union can transfer profits from a unionized employer to union workers?

A) The investment expenditures of the unionized employer will tend to fall.
B) Employment in the nonunion sector will tend to fall.
C) The costs of the unionized employer will tend to fall.
D) The output of the unionized employer will tend to increase.

Unionized Employer

An employer whose workforce is represented by a union or labor organization, which negotiates wages, working conditions, and other employment terms.

Investment Expenditures

Spending on capital goods that will be used for future production, including assets like equipment, buildings, and machinery.

Profits Transfer

The reallocation of profits from one entity to another, often seen in corporate structures or international transactions to optimize tax liabilities.

  • Analyze the effect of unionization on the efficiency of production and the allocation of investment resources.
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JA
Julia AcquavitaDec 11, 2024
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