Question
Suppose the wage for textile manufacturing workers rises from $9 to $11 per hour, and employment of textile manufacturing workers falls from 680 to 500
Suppose the wage for textile manufacturing workers rises from $9 to $11 per hour, and employment of textile manufacturing workers falls from 680 to 500 hours per week.
The own-wage elasticity of demand for airline pilots is 0.4.
Based on the relative elasticities of these two occupations, would you predict that a union campaign to raise wages while maintaining employment levels would be more successful for textile manufacturing workers or airline pilots?
Group of answer choices
textile manufacturing workers
airline pilots
campaigns will be equally successful among both occupations
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