1. The term 'return migration' refers to which of the following?

2. Assume there are no labor market frictions. If the equilibrium wage rate in country A is greater than the equilibrium wage rate in country B, then which of the following is most likely to occur?

3. In order to reduce labor turnover, firms often have internal labor markets use which of the following?

4. When the wage in the labor market is less than the equilibrium wage,which of the following occurs?

5. A worker is paid a nominal wage of $20/hour in 2008 which increased to $25/hour in 2009. Inflation increased 4% between 2008 and 2009. If 2008 is considered the base year, normalize the base year price as 100, and using the price deflator, calculate the worker's real wage in 2009 (in 2008 dollars).

6. Which of the following statements about gender differences in unemployment are inaccurate? I. The increase in women's labor force attachment has reduced women's turnover rate relative to men's. II. The male dominated manufacturing sector has expanded relative to the female dominated service sector.

7. Consider the graph below. The labor demand curves D and D' show the maximum amount that firms are willing to pay to hire any given number of workers. D shows the original demand for labor. After a payroll tax is introduced by the government, the curve shifts to D'. In this situation, which of the following is true?

8. While calculating the labor supply elasticity with respect to wages, a perfectly inelastic labor supply implies which of the following?

9. Fill in the blank. In order to encourage younger employees to increase their efforts and avoid being fired, a firm pays its entry level workers less than the worker's marginal revenue product. However, the older workers in the firm are paid more than their marginal revenue product. This type of compensation scheme is referred to as _________________.

10. Which of the following cases fall under the 'non standard' category of employment? I. Mary is an independent contractor for the Department of Defense. II. Jill is a computer programmer hired directly by Cisco. III. Dave, a graduate student, is a part time researcher at Max Publishing

11. The costs of college education include all of the following, EXCEPT:

12. If the prevailing wages are higher than the market wages but unemployment levels are very low, then which of the following is accurate?

13. Which of the following activities DOES NOT fall under the realm of union activity?

14. Which of the following causes contribute to the decline in unionism?

15. Choose the best answer to fill in the blanks. One of the differences between the neoclassical models of labor market and the segmented labor market theory is that the segmented theory emphasizes ______________, while ________________ dominates the neoclassical models.

16. In the monopoly union model, the utility maximizing wage and employment for the union is at what point?

17. If employee discrimination exists in the form of male employees having a distaste for working with women, the wage differential between men and women might do which of the following, and why?

18. Firm A and firm B are competitors and require their employees to do similar jobs. Although firm A and firm B are equal in size and worker characteristics in both firms are the same, workers in firm A work in a rather inhospitable climate as compared to firm B. Assuming that all workers are utility maximizing individuals, they have perfect information about their job characteristics and that sufficient labor mobility exists, which of the following must be true?

19. Suppose a drop in the compensating wage differential paid to workers employed in dangerous jobs is attributed to the fact that people have become more excited about taking on risk. Assuming that wage differential is on the y-axis and the number of workers is on the x-axis, what does this reduction imply?

20. Which of the following is a reason for an increase in non standard workers?

21. Fill in the blank. Labor demand for a profit maximizing firm in a perfectly competitive labor market is given by __________________.

22. Consider the following situation, sketch a supply and demand graph, and answer the question. Assume a competitive labor market was initially at equilibrium. The government then imposes a minimum wage that is above the market clearing level. Which of the following best represents what occurs with the new minimum wage?

23. Suppose Firm A faces a reduction in the wages of its employees. Capital and output prices for the firm remain unchanged. The decrease in wage rate affects labor demand in which of the following ways? I. The reduced cost of production induces the firm to increase output and hire more labor. II. The firm's profit will increase due to the reduction in the cost of production and the demand for labor will remain unchanged.

24. Firm Fair and Just, Inc. has no inherent taste for discrimination except that it recognizes that the workers of a certain race or gender possess some undesirable characteristics that are not directly observable. Holding everything else constant, firm Fair and Just, Inc. chooses not to hire workers of this race or gender. What is this kind of discrimination called?

25. Fill in the blank. The extra wages offered by firms to compensate workers for undesirable working conditions is termed as __________________.