Practicing Success

Target Exam

CUET

Subject

Economics

Chapter

Micro Economics: Market Equilibrium

Question:
Individual labour supply curve is
Options:
Upward sloping
Backward bending
Horizontal to x-axis
Vertical to y-axis
Correct Answer:
Backward bending
Explanation:
Backward bending individual labour supply curve which shows that up to a certain wage rate for every increase in wage rate, there is an increased supply of labour. Beyond this wage rate for every increase in wage rate, labour supply will decrease.