if we were to add the assumption that work effort is positively related to the wages paid into an orthodox supply and demand labor market model, then:
Group of answer choices
as wages decline work effort increases.
labor shortages would cease to occur, as market forces would act to clear the market.
When unemployment exists, markets would most likely cease to clear as at some point falling wages would cause ulc to rise.
All of the above are correct.
None of the above are correct.