Exploring Economics 6Th Edition Sexton Test Bank Full Chapter PDF

Exploring Economics 6th Edition
Sexton Test Bank

Visit to download the full and correct content document:
https://testbankdeal.com/download/exploring-economics-6th-edition-sexton-test-bank/
Chapter 16--The Markets for Labor, Capital, and Land
Student: ___________________________________________________________________________
1. The salaries of college professors are partly determined by the demand for college education.
True False
2. The demand for cake decorators has no relationship to the demand for cakes.
True False
3. The concept of derived demand indicated that the demand for a final good or service will be determined by
the price of the inputs used to produce that final good or service.
True False
4. The demand for labor is derived from the demand for final goods which that labor is used to produce.
True False
5. The additional revenue a firm obtains from hiring one more unit of input is called the marginal revenue
product.
True False
6. The marginal resource cost is the amount by which an additional unit of input decreases the firm's variable
costs.
True False
7. The law of diminishing marginal product is a reason why the demand curve for labor is downward sloping.
True False
8. As more workers are hired to harvest grapes in a vineyard, the fields become overcrowded. As a result, the
marginal product of labor is likely to diminish.
True False
9. The intersection of the market demand for labor and the market supply for labor determines the equilibrium
wage rate.
True False
10. The marginal resource cost of input is the amount that an extra unit of that input adds to the firm's total
costs.
True False
11. Other things being equal, if the quantity of labor supplied is less than the quantity of labor demanded, wages
will tend to fall.
True False
12. An increase in the price of a firm's output will shift the firm's demand curve for labor to the right, other
things being equal.
True False
13. A decrease in the price of a firm's output will shift the firm's demand curve for labor to the right, other
things being equal.
True False
14. A decrease in the productivity of labor will shift the demand curve for labor to the left, other things being
equal.
True False
15. Increases in income from sources other than employment can cause the labor supply curve to shift to the
left.
True False
16. The demand curve for capital is downward sloping because of the increasing marginal cost of capital.
True False
17. While unions represent only a fraction of the unskilled workers in the U.S. labor market, any wage increase
won by unionized workers is most likely shared with non-union unskilled workers.
True False
18. Ultimately, the source of growth in real wages is the growth in labor productivity.
True False
19. If the demand for opera singers increases faster than the supply, wages will rise.
True False
20. At higher interest rates, fewer people or firms will want to borrow. At lower interest rates, fewer people or
firms will want to save.
True False
21. The supply curve for land is perfectly elastic.

True False
22. Other things being equal, an increase in labor productivity will shift the labor supply curve to the right.
True False
23. Labor unions create barriers to entry in certain work settings.

True False
24. In the last 60 years, the percentage of workers in union jobs has increased substantially.
True False
25. If the demand for softballs increases, one could expect the demand for leather to increase. This is due to
the:
A. principle of diminishing marginal product.
B. change in the opportunity cost of producing a softball.
C. reduction in the cost of producing softballs.
D. demand for an input being a derived demand.
26. The price of any productive resource is ____ related to ____ the final good or service:
A. inversely; demand for
B. directly; demand for
C. directly; supply of
D. not; supply of
27. Which of the following best illustrates the concept of "derived demand"?
A. An increase in the wages of autoworkers leads to an increase in the demand for robots in automobile
factories.
B. An auto firm decides to supply more minivans when there is a decrease in the demand for station wagons.
C. An increase in the price of gasoline leads to an increase in the demand for small cars.
D. An automobile firm faces an increase in the demand for cars it supplies to the market, which leads to an
increase in the demand for autoworkers.
28. Mr. Calhoun owned land on which cotton could be grown, but which he had been unable to rent for years.
Suddenly he was getting offers from cotton farmers to lease his land. Which of the following best explains this
change in circumstances?
A. The price of cotton decreased.
B. The price of cotton increased.
C. The productivity of the land increased.
D. Property taxes on the land increased.
29. Demand for inputs is a derived demand because:

A. it is derived from the need for income.
B. it corresponds to the derived supply of the inputs.
C. the demand for output leads producers to demand inputs used to produce finished goods.
D. of the diminishing marginal product of inputs.
30. The major reason the market demand curve for labor slopes downward is because:
A. at lower wage rates, workers are less willing to supply labor to the market.
B. at lower wage rates, workers are more willing to supply labor to the market.
C. of the law of diminishing marginal product.
D. of the law of diminishing marginal resource cost.
31. The demand curve for labor slopes downward because:

A. few workers are willing to work at low wages.
B. capital has been substituted for labor in most industries.
C. of the diminishing marginal product of labor.
D. of all of the above.
32. The demand for labor is a derived demand. Employers hire workers until the:
A. wage rate equals the average product of labor.
B. wage rate equals the marginal revenue product of labor.
C. average product of labor is zero.
D. marginal product of labor is zero.
33. For a firm that is competitive in both product and factor markets, the value of the marginal product of labor:
A. is constant and equal to the market wage.
B. increases, causing the labor supply curve to slope upward.
C. declines because the marginal product of labor diminishes as the number of workers rises.
D. declines because a competitive firm must lower product price in order to increase sales.
34. The marginal product of labor measures:

A. the total amount of output produced by all workers combined.
B. the quantity of an intermediate product that is combined with labor to produce output.
C. the amount of output an additional worker contributes to a firm's total output.
D. the average productivity of workers hired by a firm.
35. When a profit-maximizing firm makes a decision to employ a worker, that decision is based on:
A. the individual contribution that the worker makes to the profit of the firm.
B. the average productivity of the firm's labor force.
C. the familial relationship between the employer and the employee.
D. the total output produced by the firm.
36. The contribution of an additional worker to a firm's ____, is the worker's contribution to revenue minus the
worker's ____.
A. profits; wage
B. output; wage
C. profits; marginal productivity
D. output; marginal productivity
37. A worker's contribution to the firm's revenue is measured directly by the worker's:
A. value of marginal product.
B. marginal product multiplied by his/her wage.
C. marginal product minus his/her wage.
D. contribution to total output.
38. Based on the table below, how many workers will the firm employ in order to maximize profits?
Workers Output Product Price Wage Rate

12 5,000 $2 $725
13 5,450 $2 $725
14 5,875 $2 $725
15 6,275 $2 $725
16 6,650 $2 $725
17 7,000 $2 $725
18 7,325 $2 $725
A. 14
B. 15
C. 16
D. 17

1 40 $14 $500
2 90 $14 $500
3 160 $14 $500
4 230 $14 $500
5 290 $14 $500
6 340 $14 $500
7 380 $14 $500
8 410 $14 $500
A. 4
B. 5
C. 6
D. 7
40. When labor is a firm's only variable input in its production process, a profit-maximizing firm will continue
to employ additional workers as long as:
A. the marginal product of labor > 0.
B. the marginal revenue product of labor < the marginal resource cost.
C. the marginal revenue product of labor > the marginal resource cost.
D. none of the above.
41. Which of the following statements are true regarding profit maximizing firms?
A. They will attempt to maximize the difference between total revenues and total costs.
B. They will use more of a resource as long as the MRC is greater than the MRP.
C. They will only produce where MRP is positive and MRC is negative.
42. The profit-maximizing firm should continue hiring additional labor as long as:
A. MRC < MRP.
B. MRC > MRP.
C. MRC = MRP.
D. the MP of labor > 0.
43. The profit-maximizing firm should lay off workers when:

A. MRC < MRP.
B. MRC > MRP.
C. MRC = MRP.
D. the MP of labor begins to diminish.
44. Which of the following would cause the demand for carpenters to increase?
A. a decrease in immigration
B. an increase in the demand for housing
C. an increase in the price of lumber
D. a decrease in the productivity of carpenters

10 400 $20 $450
11 450 $19 $450
12 505 $18 $450
13 555 $17 $450
14 600 $16 $450
15 640 $15 $450
16 675 $14 $450
A. 12
B. 13
C. 14
D. 15

8 100 $28 $375
9 130 $28 $400
10 162 $28 $425
11 192 $28 $450
12 220 $28 $475
13 246 $28 $500
14 270 $28 $525
A. 10
B. 11
C. 12
D. 13
47. The market supply curve for labor:

A. shows the relationship between the wage rate and the number of employees firms are willing to hire.
B. shows the relationship between the price of output and the number of employees firms are willing to hire.
C. shows the relationship between the wage rate and the quantity of labor that workers are willing to supply.
D. shows the relationship between the price of output and the quantity of labor that workers are willing to
supply.
48. Improvements in the productivity of labor will tend to:

A. increase the supply of labor.
B. increase the demand for labor.
C. decrease the supply of labor.
D. decrease the demand for labor.
49. Improvements in the productivity of labor will tend to:

A. increase the supply of labor.
B. increase wages.
C. decrease the supply of labor.
D. decrease wages.
50. When wages increase:

A. the quantity of labor supplied by an individual always increases.
B. the quantity of labor supplied by an individual always decreases.
C. the opportunity cost of leisure time increases.
D. the opportunity cost of leisure time decreases.
51. A backward-bending portion of an individual labor supply curve is most likely to be observed:
A. at lower wages.
B. at higher wages.
C. in manufacturing industries.
D. in service industries.
52. In the backward-bending portion of a labor supply curve:
A. a worker will increase the quantity of labor supplied in response to an increase in the wage.
B. the substitution effect of a wage change outweighs the income effect.
C. the income effect of a wage change outweighs the substitution effect.
D. the substitution effect of a wage change equals the income effect.
53. At a higher wage rate:

A. the opportunity cost of working increases.
B. the opportunity cost of leisure increases.
C. the opportunity cost of working decreases.
D. the opportunity cost of leisure decreases.
54. Which of the following would certainly increase the demand for labor?
A. an increase in demand for the final product and an increase in the productivity of labor
B. an increase in demand for the final product and a decrease in the productivity of labor
C. a decrease in demand for the final product and an increase in the productivity of labor
D. a decrease in demand for the final product and a decrease in the productivity of labor
55. If leisure is a normal good for a worker, and the income effect of a wage change dominates the substitution
effect, then if wages increase:
A. there will be a decrease in the quantity of labor supplied by the worker.
B. there will be an increase in the quantity of labor supplied by the worker.
C. there will be no change in the quantity of labor supplied by the worker.
D. the worker's individual supply curve will shift to the left.
56. When the wage rate increases:

A. all workers wish to work more hours.
B. all workers wish to work fewer hours.
C. the number of hours laborers wish to work does not change.
D. some workers will wish to work more hours, and some will wish to work fewer hours.
57. The income effect of a wage increase:

A. results in an increase in the quantity of labor supplied.
B. results in a decrease in the quantity of labor supplied.
C. has no impact on the quantity of labor supplied.
D. results in a decrease in the quantity of leisure enjoyed.
58. The substitution effect of a wage increase:
A. results in an increase in the quantity of labor supplied.
B. results in a decrease in the quantity of labor supplied.
C. has no impact on the quantity of labor supplied.
D. results in an increase in the quantity of leisure enjoyed.
59. The relationship between the wage rate and the quantity of labor that employers wish to hire in total is
called:
A. the market supply curve for labor.
B. the market demand curve for labor.
C. an individual demand curve for labor.
D. an individual supply curve for labor.
60. The relationship between the wage rate and the quantity of labor that workers wish to supply in total is
called:
A. the market supply curve for labor.
B. the market demand curve for labor.
C. an individual demand curve for labor.
D. an individual supply curve for labor.
61. Which of the following will not result in a leftward shift of the market demand curve for labor?
A. a decrease in labor productivity
B. a decrease in demand for the firm's product
C. an increase in the wage rate
D. a decrease in the firm's product price
62. Which of the following will not result in a rightward shift of the market supply curve for labor?
A. an increase in immigration
B. an increase in labor productivity
C. an increase in the working-age population
D. a decrease in nonwage income
63. Which of the following will result in a leftward shift of the market supply curve for labor?
A. an increase in immigration
B. a decrease in labor productivity
C. an increase in the working-age population
D. an increase in nonwage income
64. Job amenities:
A. have no impact on the supply of labor.
B. are not part of the compensation workers receive from employers.
C. help determine the position of the labor supply curve.
D. never affect the monetary wages paid to workers.
65. Which of the following are examples of job amenities?

A. a child-care center at work
B. a pleasant view
C. a workplace gymnasium
D. all of the above
66. Exhibit 16-1
Several congressmen and senators have been greatly concerned about the fairness of salaries in the marketplace.
They are contemplating enacting a law that would fix the wage rate at WA. Their aides, who were all excellent
economics students, have returned with the results of an investigation into the matter, as portrayed below.
Refer to Exhibit 16-1. If the government was to impose a wage rate of WA on the computer software
programming industry:
A. the imposed wage would have no effect on the market for computer programmers.
B. a shortage of software programmers would result.
C. a quantity of Q4 software programmers would be demanded in the marketplace.
D. there would be pressure from market forces for the wage to fall.
67. Exhibit 16-1
Refer to Exhibit 16-1. If the wage law were enacted, in the market for computer programmers a ____ would
result.
A. shortage of Q6 - Q5
B. shortage of Q6 - Q4
C. surplus of Q6 - Q5
D. surplus of Q6 - Q4
68. Exhibit 16-1
Refer to Exhibit 16-1. If the law were not enacted, the prevailing wage rate and quantity of labor at
equilibrium in the market for computer software programmers would be:
A. WA and Q4, respectively.
B. WA and Q5, respectively.
C. WA and Q6, respectively.
D. WC and Q5, respectively.
69. Exhibit 16-1
Refer to Exhibit 16-1. If the law was to impose a wage rate of WA on the K-12 teachers market:
A. the quantity of K-12 teachers demanded would decrease.
B. a surplus of K-12 teachers would soon result.
C. a quantity of Q3 teachers would be supplied to the marketplace.
D. all of the above would occur.
70. Exhibit 16-1
Refer to Exhibit 16-1. If a wage rate of WA for teachers were imposed by the government on schools, the
expected result would be:
A. a teacher shortage of Q3 - Q1.
B. a teacher shortage of Q3 - Q2.
C. a teacher surplus of Q2 - Q1.
D. a teacher surplus of Q3 - Q1.
71. Exhibit 16-1
Refer to Exhibit 16-1. If the wage law was not enacted, the prevailing wage rate and quantity of labor in the
marketplace for K-12 teachers at equilibrium would be:
A. WB and Q2, respectively.
B. WA and Q2, respectively.
C. WA and Q3, respectively.
D. WB and Q1, respectively.
72. Economists refer to expenditures on training, education, and skill development designed to increase the
productivity of an individual as:
A. overhead expenditures.
B. investments in human capital.
C. marginal revenue product.
D. investments in social capital.
73. Which of the following is the best example of an investment in human capital?
A. an increase in the number of hours worked per week by worker in a job employing low-skilled labor
B. the purchase of company stock by a worker
C. a summer internship at a law firm filled by someone attending law school
D. payments into a retirement pension plan by a skilled laborer
74. Which of the following is the best example of an investment in human capital?
A. the purchase of an industrial development bond
B. a graduate student who completed 24 semester units in economics last year
C. the purchase of a lawn mower by a homeowner
D. an unemployed stockbroker who drives a cab in order to pay his bills
75. An increase in the demand for a product will cause output to:
A. increase and the demand for the resources used to produce the product to rise.
B. increase and the demand for the resources used to produce the product to fall.
C. decline, while the demand for the resources used to produce the product remains constant.
D. increase and the price of resources used to produce the product to increase if their supply is perfectly elastic.
76. Which of the following most clearly illustrates the concept of "derived demand"?
A. An increase in the price of steak causes the demand for poultry to increase.
B. An increase in the demand for new houses leads to an increase in the demand for construction workers.
C. An increase in consumer income leads to an increase in the demand for services provided by the government.
D. An increase in the demand for new cars causes the demand for used automobiles to rise.
77. An increase in the price of a resource would cause:

A. producers to substitute other inputs for the resource.
B. consumers to substitute other products for goods that increase in price as the result of the higher resource
price.
C. an increase in the demand for products that use the resource intensely.
D. both (a) and (b) to occur.
78. Other things being equal, an increase in the labor force resulting from increased immigration tends to:
A. increase wages.
B. decrease wages.
C. decrease the demand for labor.
D. increase the demand for labor.
79. Which of the following is likely to increase the supply of labor?

A. a decrease in the population
B. a relaxation of restrictions on immigration
C. a decrease in fringe benefits
D. an increase in the value placed on leisure
80. The labor supply curve will shift to the right under which of the following conditions?
A. other things being equal, workers are willing to supply more hours of labor each week
B. new workers enter the labor market
C. a new law relaxes immigration quotas
D. all of the above
81. Which of the following might shift an individual's supply curve of labor to the left?
A. winning the lottery
B. a decrease in non-wage income
C. due to falling sales, businesses are less willing to hire additional workers
D. a decrease in derived demand
82. The labor ____ curve(s) will shift if there is a change in productivity or a change in the demand for the final
product.
A. supply
B. demand
C. supply and demand
D. None of the above are correct. Changes in productivity and the demand for final products do not affect the
labor market.
83. Other things being equal, an increase in the workplace amenities, such as increased health care and more
generous vacation options, would tend to shift the labor supply curve to the ____.
A. left, increasing wages.
B. right, increasing wages.
C. left, decreasing wages.
D. right, decreasing wages.
84. Other things being equal, a decrease in the workplace amenities, such as decreased health care and less
generous vacation options, would tend to shift the labor supply curve to the ____, thereby causing the market
wages to ____.
A. right; fall
B. right; increase
C. left; fall
D. left; rise
85. Where monopsony exists, ____ workers will be hired at ____ wages than if perfect competition prevailed in
a labor market.
A. fewer; lower
B. fewer; higher
C. more; lower
D. more: higher
86. Which of the following could be considered an example of a monopsony?

A. a professional sports league
B. the only auto repair shop in a small town
C. a single mining firm that was the only employer in the area
D. all of the above
87. All of the following are characteristics of a monopsony employer except:

A. there is a single buyer of labor.
B. the monopsony firm moves up the positively sloped supply curve it faces.
C. fewer number of workers hired for wages below what they would be in a competitive market.
D. workers work for less than their marginal revenue product.
88. Which of the following is likely to reduce the impact of a monopsony?

A. Absence of competing firms
B. Higher search costs
C. An increased ability of workers to relocate elsewhere
D. Higher movement and information costs
89. Which of the following is true regarding labor legislation?

A. The Taft-Hartley Act increased union power while the Wagner Act limited union power.
B. The Wagner Act increased union power while the Taft-Hartley Act limited union power.
C. Both the Wagner Act and the Taft-Hartley Act increased the power of unions.
D. Both the Wagner Act and the Taft-Hartley Act limited the power of unions.
90. Which landmark legislation protected the right of workers to organize and bargain collectively?
A. Landrum-Griffen Act
B. Taft-Hartley Act
C. Wagner Act
D. Walsh-Healy Act
91. Which of the following is not a reason it is harder to unionize in the fast growing service industry?
A. Service sector jobs are often in small firms, making it difficult to organize large numbers of employees
across the industry.
B. Service industry jobs are often standardized, reducing the need for unions to negotiate working conditions.
C. Employees in the service sector often work more closely with management.
D. Service industry jobs are more varied, making it harder to negotiate as a group.
92. Labor unions:

A. have no influence over wages.
B. can influence wages by restricting labor supply.
C. are illegal in the United States.
D. have significantly increased their membership in the last two decades.
93. In the diagram, when unions successfully increase the wages of its members, the supply curve in the union
sector shifts from ____ and ____ workers lose their jobs as a result.
A. S1 to S2; L3 - L1
B. S2 to S1; L3 - L1
C. S1 to S2; L2 - L1
D. S2 to S1; L2 - L1
94. Unionization provides ____ in given occupations, and as a result, wage rates in these occupations have a
tendency to ____.
A. barriers to entry; decrease
B. barriers to entry; increase
C. ease of entry; decrease
D. ease of entry; increase
95. Featherbedding refers to the practice of:

A. disallowing members from joining labor unions.
B. hiring lesser number of laborers than what is required.
C. terminating employment without notice.
D. hiring more laborers than what is necessary.
96. The provisions of which of the following labor legislation allowed the president to seek a court injunction to
prevent a strike for 80 days if the nation's economy is at risk?
A. Landrum-Griffen Act
B. Taft-Hartley Act
C. Wagner Act
D. Walsh-Healy Act
97. The most significant factor enabling unions to negotiate increased wages for its members is likely:
A. that unions increase the demand for labor.
B. that unions decrease the supply of labor in the union sector.
C. that unions increase the marginal product of labor.
D. that unions increase the supply of labor in the union sector.
98. Not all similarly skilled workers are included in unions. As a result, wages for unionized workers tend to be
____ than for nonunion workers. Additionally, as a significant number of skilled workers seek work in the
nonunion sector, the supply curve for nonunion labor shifts to the ____, thereby ____ wages for nonunion
workers.
A. higher; right; reducing
B. higher; left; reducing
C. lower; right; increasing
D. lower; left; increasing
99. Unions, by nature, must ____ their membership in order to ____ wages.
A. open; lower
B. open; raise
C. restrict; lower
D. restrict; raise
100. Firms with union contracts do a large portion of the painting jobs in the county. If the painters' union wins
a 12 percent wage increase, what will most likely happen in the non-unionized part of the painters' labor
market?
A. Nonunion painters will also get 12 percent wage increases.
B. There will be no change in the nonunionized part of the painters' labor market because these sectors are not
connected.
C. Wage rates in the nonunion sector are likely to fall.
D. Many nonunion painters will likely find work for a firm with a union contract.
101. Collective bargaining refers to negotiations between:

A. representatives of employers and unions.
B. unions and government regulators.
C. consumers and producers.
D. employers and consumers.
102. If the demand for software engineers ____ slower than does supply, wages of software engineers will
____.
A. increases; remain constant
B. increases, rise
C. increases; fall
D. decreases; fall
103. Which of the following is not part of an argument that unions lead to increased productivity?
A. reduction in worker turnover
B. improved morale
C. employees with more motivation
D. benefits from featherbedding
104. Which of the following will contribute to higher wage rates for labor?
A. increased productivity
B. increases in capital formation
C. a decrease in the supply of labor
D. all of the above
105. Which of the following does not contribute to increased worker productivity?
A. technological advances
B. increased capital formation
C. improvements in workers' skills
D. increased labor supply
106. Which of the following will not contribute to higher wage rates for labor?
A. increased unionization and decreased nonunionization of employees in the economy
B. a rapid increase in the demand for labor
C. significantly relaxed immigration standards
D. increases in technological advances that are substitutes for labor
107. Other things being equal, a ____ supply of workers tends to ____ real wages.
A. larger; decrease
B. smaller; decrease
C. larger; increase
D. smaller; not change
108. If labor demand rises faster than labor supply, it is expected that real wages will ____.
A. stay the same
B. decrease
C. increase
D. Not enough information is available to determine the impact on real wage rates.
109. A payment for a resource above its opportunity cost is known as:
A. an interest payment.
B. a sunk cost.
C. featherbedding.
D. an economic rent.
110. The supply curve for land:

A. is almost perfectly elastic.
B. is almost perfectly inelastic.
C. is downward sloping.
D. is horizontal.
111. The short-run supply of land at a specific location is:
A. best described by an upward-sloping curve.
B. best described by a downward-sloping curve.
C. perfectly inelastic.
D. perfectly elastic.
112. Changes in the rental price of land is largely determined by:

A. changes in the supply of land.
B. changes in the demand for land.
C. changes in the elasticity of supply of land.
D. the creation of new landfills.
113. Interest is the payment for the use of:

A. borrowed funds.
B. natural resources.
C. labor.
D. any factor of production.
114. If the rate of interest increases, firms will most likely respond by:
A. increasing investment.
B. decreasing investment.
C. not changing investment.
D. increasing their capital stock.
115. The demand curve for loanable funds is downward sloping because:
A. people save more at higher interest rates.
B. more investments are profitable at low interest rates than at high interest rates.
C. future income is more valuable now at higher interest rates than at lower interest rates.
D. usury laws increase the quantity of funds demanded at low interest rates but do not affect the quantity of
funds demanded at high interest rates.
116. The quantity of funds supplied by lenders is:

A. directly related to the rate of interest.
B. inversely related to the rate of interest.
C. unrelated to the rate of interest.
D. first increases and then decreases with the rate of interest.
117. The quantity of funds demanded by borrowers:
A. is directly related to the rate of interest.
B. is inversely related to the rate of interest.
C. is unrelated to the rate of interest.
D. first increases and then decreases with the rate of interest.
118. An increase in the interest rate will:

A. increase the amount of money borrowed by firms.
B. decrease the amount of money borrowed by firms.
C. have an ambiguous effect on the amount of money borrowed by firms.
D. have no effect on the amount of money borrowed by firms.
119. A decrease in the interest rate will:

A. increase the amount of money borrowed by firms.
B. decrease the amount of money borrowed by firms.
C. have an ambiguous effect on the amount of money borrowed by firms.
D. have no effect on the amount of money borrowed by firms.
120. An increase in the interest rate will:

A. increase the amount of money supplied by lenders.
B. decrease the amount of money supplied by lenders.
C. have no effect on the amount of money supplied by lenders.
D. have an ambiguous effect on the amount of money supplied by lenders.
121. A decrease in the interest rate will:

A. increase the amount of money supplied by lenders.
B. decrease the amount of money supplied by lenders.
C. have no effect on the amount of money supplied by lenders.
D. have an ambiguous effect on the amount of money supplied by lenders.
122. The demand curve for capital is ____ and its supply curve is ____.
A. downward sloping; downward sloping
B. upward sloping; upward sloping
C. downward sloping; upward sloping;
D. upward sloping; downward sloping
123. Exhibit 16-2
The following lists possible capital investments that a business might pursue.
Capital Current Cost Return on Capital

Project of Capital in One Year
Project 1 $4,000 $4,500
Project 2 $1,820 $1,910
Project 3 $ 925 $1,062
Project 4 $ 575 $ 607
Refer to Exhibit 16-2. If the interest rate is 5 percent, which projects would the business not invest in?
A. 1
B. 2
C. 3
D. 4
124. Exhibit 16-2

Project 1 $4,000 $4,500
Project 2 $1,820 $1,910
Project 3 $ 925 $1,062
Project 4 $ 575 $ 607
Refer to Exhibit 16-2. If the interest rate is 8 percent, which projects would the business not invest in?
A. 1, 2, 3, and 4
B. 1, 2, and 3
C. 2 and 4
D. 1 and 2
125. Exhibit 16-2

Project 1 $4,000 $4,500
Project 2 $1,820 $1,910
Project 3 $ 925 $1,062
Project 4 $ 575 $ 607
Refer to Exhibit 16-2. How many projects would the firm invest in if the interest rate is 7 percent?
A. 0
B. 1
C. 2
D. 3
126. Exhibit 16-2

Project 1 $4,000 $4,500
Project 2 $1,820 $1,910
Project 3 $ 925 $1,062
Project 4 $ 575 $ 607
Refer to Exhibit 16-2. How many projects would the firm invest in if the interest rate is 5 percent?
A. 0
B. 1
C. 2
D. 3
127. Exhibit 16-2

Project 1 $4,000 $4,500
Project 2 $1,820 $1,910
Project 3 $ 925 $1,062
Project 4 $ 575 $ 607
Refer to Exhibit 16-2. If the interest rate is 15 percent, how many projects would the firm invest in?
A. 0
B. 1
C. 2
D. 3
128. A decrease in the demand for the output that an input produces will cause the input's:
A. supply curve to shift to the right.
B. supply curve to shift to the left.
C. demand curve to shift to the right.
D. demand curve to shift to the left.
129. Lower wages will

A. decrease the demand for labor.
B. decrease the quantity of labor demanded.
C. increase the demand for labor.
D. increase the quantity of labor demanded.
130. The MRP curve for labor

A. is the same as the demand curve for labor for a competitive firm.
B. is the same as the supply curve for labor to a competitive firm.
C. will shift up when market wages rise.
D. is characterized by both (a) and (b).
131. When wages decrease

A. the substitution effect increases the quantity of labor supplied
B. the substitution effect increases the supply of labor.
C. the income effect increases the quantity of labor supplied
D. the income effect increases the supply of labor.
132. When wages increase, the income effect

A. increases the quantity of labor supplied
B. increases the supply of labor.
C. decreases the quantity of labor supplied
D. decreases the supply of labor.
133. For an individual's supply curve of labor to be upward sloping:

A. the substitution effect must be greater than the income effect.
B. the substitution effect must be equal to the income effect.
C. the substitution effect must be less than the income effect.
D. is an impossibility.
134. For an individual's supply curve of labor to be backward bending:
A. the substitution effect must be greater than the income effect.
B. the substitution effect must be equal to the income effect.
C. the substitution effect must be less than the income effect.
D. is an impossibility.
135. Which of the following would shift the supply of labor to the right?
A. A decrease in population.
B. A decrease in immigration.
C. A decrease in non-wage income.
D. A decrease in the quality of on-the-job amenities.
136. If there is both a decrease in immigration and an increase in workers' non-wage incomes,
A. the supply of labor will increase.
B. the supply of labor will decrease.
C. the supply of labor will remain unchanged.
D. the effect on the supply of labor will be indeterminate.
137. If there is an increase in demand for a good,

A. there will be an increase in demand for the inputs that produce it.
B. there will be a decrease in demand for the inputs that produce it.
C. there will be an increase in supply of the inputs that produce it.
D. there will be a decrease in supply of the inputs that produce it.
138. Decreases in the demand curve for labor may arise from ____ in labor productivity or from ____ in the
price of the good.
A. increases; increases.
B. increases; decreases.
C. decreases; increases.
D. decreases; decreases
139. Increases in income from other sources than employment can cause the labor ____ curve to shift ____.
A. demand; right.
B. demand; left.
C. supply; right.
D. supply; left.
140. Which of the following is false?
A. An increase in labor productivity will shift the demand curve for labor to the right.
B. An increase in wage will lead to an increase in the supply of labor.
C. A decrease in the nonwage income of workers would shift the labor supply curve to the right.
D. If job amenities deteriorate, it would lead to a reduction, or leftward shift, in the labor supply curve.
141. A change in technology that increases the marginal physical product of an input will:
A. shift the input demand curve to the left.
B. shift the input demand curve to the right.
C. result in a movement down along the input demand curve.
D. result in a movement up along the input demand curve.
142. The demand for labor of a perfectly competitive producer:

A. is perfectly elastic at the going wage rate.
B. is downward sloping because prices fall when the producer increases output.
C. is downward sloping because of diminishing marginal productivity.
D. is downward sloping because prices fall when the producer increases output and because of diminishing
marginal productivity.
143. If labor is the only variable input, an additional worker increases output from 72 to 78 units, and the
product price is $6, the marginal revenue product from an additional worker:
A. is $6.
B. is $36.
C. is $78
D. is $432.
144. Which of the following would not shift the demand for resource Z?
A. A decline in the price of resource Z.
B. A decline in the price of substitute resource A.
C. An increase in the productivity of resource Z.
D. An increase in the price of the product resource Z is used to produce.
145. Bob's Baubles, Inc., sells its product for $3 each in a perfectly competitive market. If it increases its
workforce from 1,000 to 1,001, its output goes from 615 to 625 per day. Its marginal revenue product for the
1,001st worker is:
A. $3.
B. $1, 845.
C. $30.
D. $3,003
146. Bob's Baubles, Inc., sells its product for $3 each in a perfectly competitive market. If it increases its
workforce from 1,000 to 1,001, its output goes from 615 to 625 per day. Bob should hire the 1,001st worker
only if:
A. the wage is more than $30 per day.
B. the wage is $30 or less per day.
C. the wage is less than $10 per day.
D. the wage is less than $3 per day.
147. If the demand for labor increased but more slowly than the supply
A. wages would rise.
B. wages would fall.
C. there would be an increase in the amount of laborers employed.
D. both (b) and (c) would result.
148. A productivity slowdown could result from

A. an increase in capital formation.
B. an increase in the number of unskilled and inexperienced workers.
C. a decrease in the relative size of the service sector.
D. any of the above.
149. Which of the following would tend to raise real wages?

A. An increase in the demand for labor and no change in the supply of labor.
B. A decrease in the demand for labor and no change in the supply of labor.
C. An increase in the demand for labor that is greater than an increase in the supply of labor.
D. Either (a) or (c).
150. If an increase occurs in the demand for the output of industry A, we would expect all of the following to
happen except:
A. an increase in the profits of industry A.
B. a decrease in prices of inputs used in the production of A.
C. an increase in the output of industry A.
D. an increase in the demand for inputs used in the production of A.
151. An individual firm in a perfectly competitive labor market faces:

A. a downward sloping labor demand curve and an upward sloping labor supply curve.
B. a horizontal labor supply curve and a vertical labor demand curve.
C. a horizontal labor supply curve and a downward sloping labor demand curve.
D. an upward sloping labor supply curve and a horizontal labor demand curve.
152. Ceteris paribus, the wages of clerks would increase if there was a decrease in:
A. the period of training required for clerk jobs.
B. non-monetary "fringe" benefits received by clerks.
C. the marginal revenue product of clerks.
D. the cost of medical insurance benefits paid to clerks.
153. Labor unions

A. are formed to increase members' wages and improve working conditions.
B. have represented a declining share of the workforce in the past 50 years.
C. have traditionally found it difficult to organize workers in white-collar jobs.
D. are characterized by all of the above.
154. Labor unions:

A. increase employment in the non-union sector.
B. decrease employment in the union sector.
C. decrease non-union wages.
D. do all of the above.
155. If unions are successful at increasing union wages, it will

A. increase wages and employment in the union sector.
B. increase wages and decrease employment in the union sector.
C. increase wages and employment in the non-union sector.
D. increase wages and decrease employment in the non-union sector.
156. The effect of unions tends to ____ output in the union sector and ____ output in the non-union sector.
A. increase; increase.
B. increase; decrease.
C. decrease; increase.
D. decrease; decrease.
157. In an industry where some firms were unionized and others were not, the union would oppose which of the
following?
A. A decrease in the price of a complementary input.
B. An increase in the price of a substitute input.
C. An increase in demand for the goods produced by the industry.
D. A shift in industry production overseas, where the union has no power.
158. Unions tend to:
A. shift labor from the union sector to the non-union sector of the economy.
B. shift labor from the non-union sector to the union sector of the economy.
C. decrease wages in the union sector.
D. increase wages in the non-union sector.
159. If, beginning from a competitive labor market, some workers form a union and negotiate a higher rate for
themselves, which of the following is likely to happen?
A. Competition will force the wage rate in the non-union sector to increase to the level of the union wage.
B. The marginal product of labor curve will increase in the unionized sector.
C. Employment will move from the union to the non-union sector over time.
D. Employment will increase in the union sector because workers will be attracted by the higher union wage.
160. Exhibit 16-3
Refer to Exhibit 16-3. Which of the following situations is relevant to Case A?

A. Increases in income from other sources than employment
B. Deteriorating job amenities
C. People become willing to work fewer hours at a given wage
D. New workers enter the labor force
161. Exhibit 16-3
Refer to Exhibit 16-3. Which of the following situations is relevant to Case A?

A. Deteriorating job conditions
B. A decrease in nonwage income
C. People become willing to work fewer hours at a given wage
D. Workers leaving the labor force
162. Exhibit 16-3
Refer to Exhibit 16-3. Which of the following situations is relevant to Case B?

A. New workers enter the labor force
B. Increases in income from other sources than employment
C. Improvements in amenities associated with a job or location
D. People become willing to work more hours at a given wage
163. Which of the following is most likely to incorporate a great deal of economic rent?
A. sale of a bag of potato chips
B. salary paid to an employee at the local Home Depot
C. a soft drink sold by a vending machine
D. sale of a rare stamp
164. Which of the following is not likely to incorporate a great deal of economic rent?
A. the salary paid to Paula Abdul as a judge on American Idol
B. the price for dinner at a nice restaurant in a major city
C. rental of beachfront property during the summer
D. sale of piece the parquet floor previously in the famous Boston Garden
165. Would an increase in the productivity of labor lead to an increase or a decrease in the demand for labor?
Why?
166. The firm represented in the table below participates in a perfectly competitive market for their product as
well as for labor. Complete the chart and answer the following questions.
Marginal Marginal
Physical Revenue
Product Product of Wage Rate
Quantity Total of Labor Product Labor (MRC)
of Labor Output (MPP) Price (MRP) per day
0 0 --- --- --- ---
1 10 10 $10 100 $55
2 19 $
3 27 $
4 34 $
5 40 $
6 45 $
7 49 $
8 52 $
a. If the firm represented in the table above is currently employing two units of labor, should they hire a third? Why or why not?
b. If the firm represented in the table above is currently employing four units of labor, should they hire a fifth? Why or why not?
c. If the firm represented in the table above is currently employing seven units of labor, should they hire an eighth? Why or why not?
d. At what level of employment will the firm be maximizing profit? If they hire one additional unit of labor, what will be the cost?
167. Would the owner of a profit-maximizing fast-food establishment hire another worker for $55 per day if
that worker added faster service, increasing sales and revenue by $98 per day? Why or why not?
168. Would the owner of a profit-maximizing fast-food establishment hire another worker for $55 per day if
that worker added faster service, increasing sales and revenue by $50 per day? Why or why not?
169. If the private-sector wage of biologists was significantly greater than that of music professors, what might
happen if a university tried to pay its entire faculty the same salary?
170. In many communities across the country it is very difficult for firms to hire sufficient numbers of entry
level workers. If firms do not wish to raise money wages, what else might they do to attract workers?
171. How does monopsony power evolve? What factors might aid its continued presence?
172. Discuss the factors behind the recent decline in labor union membership.
173. Unions have found it particularly difficult to organize workers in service-based industries. Why?
174. Even though non-union workers maybe just as skilled as union workers, wages are almost 15 percent
higher in union jobs. Why?
175. If a large number of skilled workers retire at about the same time through early retirements or buyouts,
what will happen to the wages of skilled workers, other things being equal?
176. In Japan, the market value of the land is approximately four times that of all the land in the United States,
even though Japan is only about the size of California. The most likely explanation for this fact is?
177. Explain what is meant by "derived demand" as it relates to factors of production.

Chapter 16--The Markets for Labor, Capital, and Land Key
1. The salaries of college professors are partly determined by the demand for college education.
TRUE
2. The demand for cake decorators has no relationship to the demand for cakes.
FALSE
3. The concept of derived demand indicated that the demand for a final good or service will be determined by
the price of the inputs used to produce that final good or service.
FALSE
4. The demand for labor is derived from the demand for final goods which that labor is used to produce.
TRUE
5. The additional revenue a firm obtains from hiring one more unit of input is called the marginal revenue
product.
TRUE
6. The marginal resource cost is the amount by which an additional unit of input decreases the firm's variable
costs.
FALSE
7. The law of diminishing marginal product is a reason why the demand curve for labor is downward sloping.
TRUE
8. As more workers are hired to harvest grapes in a vineyard, the fields become overcrowded. As a result, the
marginal product of labor is likely to diminish.
TRUE
9. The intersection of the market demand for labor and the market supply for labor determines the equilibrium
wage rate.
TRUE
10. The marginal resource cost of input is the amount that an extra unit of that input adds to the firm's total
costs.
TRUE
11. Other things being equal, if the quantity of labor supplied is less than the quantity of labor demanded, wages
will tend to fall.
FALSE
12. An increase in the price of a firm's output will shift the firm's demand curve for labor to the right, other
things being equal.
TRUE
13. A decrease in the price of a firm's output will shift the firm's demand curve for labor to the right, other
things being equal.
FALSE
14. A decrease in the productivity of labor will shift the demand curve for labor to the left, other things being
equal.
TRUE
15. Increases in income from sources other than employment can cause the labor supply curve to shift to the
left.
TRUE
16. The demand curve for capital is downward sloping because of the increasing marginal cost of capital.
FALSE
17. While unions represent only a fraction of the unskilled workers in the U.S. labor market, any wage increase
won by unionized workers is most likely shared with non-union unskilled workers.
FALSE
18. Ultimately, the source of growth in real wages is the growth in labor productivity.
TRUE
19. If the demand for opera singers increases faster than the supply, wages will rise.
TRUE
20. At higher interest rates, fewer people or firms will want to borrow. At lower interest rates, fewer people or
firms will want to save.
TRUE
21. The supply curve for land is perfectly elastic.

FALSE
22. Other things being equal, an increase in labor productivity will shift the labor supply curve to the right.
FALSE
23. Labor unions create barriers to entry in certain work settings.

TRUE
24. In the last 60 years, the percentage of workers in union jobs has increased substantially.
FALSE
25. If the demand for softballs increases, one could expect the demand for leather to increase. This is due to
the:
A. principle of diminishing marginal product.
B. change in the opportunity cost of producing a softball.
C. reduction in the cost of producing softballs.
D. demand for an input being a derived demand.
26. The price of any productive resource is ____ related to ____ the final good or service:
A. inversely; demand for
B. directly; demand for
C. directly; supply of
D. not; supply of
27. Which of the following best illustrates the concept of "derived demand"?
A. An increase in the wages of autoworkers leads to an increase in the demand for robots in automobile
factories.
B. An auto firm decides to supply more minivans when there is a decrease in the demand for station wagons.
C. An increase in the price of gasoline leads to an increase in the demand for small cars.
D. An automobile firm faces an increase in the demand for cars it supplies to the market, which leads to an
increase in the demand for autoworkers.
28. Mr. Calhoun owned land on which cotton could be grown, but which he had been unable to rent for years.
Suddenly he was getting offers from cotton farmers to lease his land. Which of the following best explains this
change in circumstances?
A. The price of cotton decreased.
B. The price of cotton increased.
C. The productivity of the land increased.
D. Property taxes on the land increased.
29. Demand for inputs is a derived demand because:

A. it is derived from the need for income.
B. it corresponds to the derived supply of the inputs.
C. the demand for output leads producers to demand inputs used to produce finished goods.
D. of the diminishing marginal product of inputs.
30. The major reason the market demand curve for labor slopes downward is because:
A. at lower wage rates, workers are less willing to supply labor to the market.
B. at lower wage rates, workers are more willing to supply labor to the market.
C. of the law of diminishing marginal product.
D. of the law of diminishing marginal resource cost.
31. The demand curve for labor slopes downward because:

A. few workers are willing to work at low wages.
B. capital has been substituted for labor in most industries.
C. of the diminishing marginal product of labor.
D. of all of the above.
32. The demand for labor is a derived demand. Employers hire workers until the:
A. wage rate equals the average product of labor.
B. wage rate equals the marginal revenue product of labor.
C. average product of labor is zero.
D. marginal product of labor is zero.
33. For a firm that is competitive in both product and factor markets, the value of the marginal product of labor:
A. is constant and equal to the market wage.
B. increases, causing the labor supply curve to slope upward.
C. declines because the marginal product of labor diminishes as the number of workers rises.
D. declines because a competitive firm must lower product price in order to increase sales.
34. The marginal product of labor measures:

A. the total amount of output produced by all workers combined.
B. the quantity of an intermediate product that is combined with labor to produce output.
C. the amount of output an additional worker contributes to a firm's total output.
D. the average productivity of workers hired by a firm.
35. When a profit-maximizing firm makes a decision to employ a worker, that decision is based on:
A. the individual contribution that the worker makes to the profit of the firm.
B. the average productivity of the firm's labor force.
C. the familial relationship between the employer and the employee.
D. the total output produced by the firm.
36. The contribution of an additional worker to a firm's ____, is the worker's contribution to revenue minus the
worker's ____.
A. profits; wage
B. output; wage
C. profits; marginal productivity
D. output; marginal productivity
37. A worker's contribution to the firm's revenue is measured directly by the worker's:
A. value of marginal product.
B. marginal product multiplied by his/her wage.
C. marginal product minus his/her wage.
D. contribution to total output.

12 5,000 $2 $725
13 5,450 $2 $725
14 5,875 $2 $725
15 6,275 $2 $725
16 6,650 $2 $725
17 7,000 $2 $725
18 7,325 $2 $725
A. 14
B. 15
C. 16
D. 17

1 40 $14 $500
2 90 $14 $500
3 160 $14 $500
4 230 $14 $500
5 290 $14 $500
6 340 $14 $500
7 380 $14 $500
8 410 $14 $500
A. 4
B. 5
C. 6
D. 7
40. When labor is a firm's only variable input in its production process, a profit-maximizing firm will continue
to employ additional workers as long as:
A. the marginal product of labor > 0.
B. the marginal revenue product of labor < the marginal resource cost.
C. the marginal revenue product of labor > the marginal resource cost.
41. Which of the following statements are true regarding profit maximizing firms?
A. They will attempt to maximize the difference between total revenues and total costs.
B. They will use more of a resource as long as the MRC is greater than the MRP.
C. They will only produce where MRP is positive and MRC is negative.
42. The profit-maximizing firm should continue hiring additional labor as long as:
A. MRC < MRP.
B. MRC > MRP.
C. MRC = MRP.
D. the MP of labor > 0.
43. The profit-maximizing firm should lay off workers when:

A. MRC < MRP.
B. MRC > MRP.
C. MRC = MRP.
D. the MP of labor begins to diminish.
44. Which of the following would cause the demand for carpenters to increase?
A. a decrease in immigration
B. an increase in the demand for housing
C. an increase in the price of lumber
D. a decrease in the productivity of carpenters

10 400 $20 $450
11 450 $19 $450
12 505 $18 $450
13 555 $17 $450
14 600 $16 $450
15 640 $15 $450
16 675 $14 $450
A. 12
B. 13
C. 14
D. 15

8 100 $28 $375
9 130 $28 $400
10 162 $28 $425
11 192 $28 $450
12 220 $28 $475
13 246 $28 $500
14 270 $28 $525
Another random document with
no related content on Scribd:
constitute the royal livery, was also lying prone on the floor with his
head towards the east. Their orisons, if praying they were, were
extremely short, for in a trice both men were on their feet and all
attention to my wants. I mean to speak later of the minutiæ of my
daily life, but at this point I wish to hasten my reader and not to
weary or detain him with petty diurnal details that I have settled to
describe in another place. Let it suffice to say that I bathed, dressed
and breakfasted to my complete satisfaction, and that having duly
performed these matutinal duties I was glad to find myself at leisure
to contemplate by the brilliant light of morning the veiled scene of the
previous night.
From the vantage ground of my exterior gallery I obtained a superb
and intimate view of the great city of Tamarida and its surroundings.
Imagine a compound of Naples, Algiers and Amalfi, each of these
Mediterranean cities being built on steep slopes descending to the
sea-shore, and yet such compound resulting in something totally
dissimilar from any earthly town of my acquaintance. In size and
arrangement Tamarida somewhat resembled the older portions of
Naples that stretch from Sant' Elmo to the Monte di Dio; in setting I
was reminded of Amalfi with its craggy headlands, though here on a
grander scale; whilst in general character the cascade of dazzling
white flat-roofed square houses of the Arab native town in Algiers
suggested many points of comparison in this case. But though it was
evident that my capital was very extensive, and that much of its area
was thickly populated, nevertheless there seemed to be abundance
of parks and gardens in all directions, forming oases of vivid
greenery amongst the dense masses of small low squat dwellings.
Roughly speaking, the city was divided into three portions, that were
formed by two deep valleys, down each of which flowed a rapid clear
torrent fed from the mountainous regions above. The two outer
sections of this curving site were wholly occupied, as I have said, by
houses and gardens of the citizens, apparently both rich and poor
intermingled; whilst the central slope between the two streams was
reserved for the palace and the main temple and other official
buildings. Of these the palace took up a considerable space about
half-way up the hillside, and below it, stretching to the harbour, was a
large tract of tilth and orchard, well sprinkled with tiny white cottages
and long low barns that were presumably used by the labourers and
other servants of the palace. The royal residence itself was an
immense rambling structure, built without plan and at various
periods, though it was hard to classify its many architectural features
or to guess which were the older or more recent portions of the
fabric. Above the palace and its adjacent enclosures could be seen
hanging-gardens traversed by immense flights of broad shallow
steps, beyond which was another conspicuous group of buildings
situated at different levels. This pile I rightly concluded to be the chief
—it was the only—temple of the city, both from its more ornate style
of architecture and from a circular tower which crowned the main
edifice. On this tower upreared a tall column whereon rested a gilded
copper representation of the sun in splendour, making a brilliant
mass of golden light under the fierce rays of its great original, and
offering a prominent landmark for many miles around. Of the
residential districts of Tamarida on the two flanking slopes I have
omitted to mention that two main streets or arteries for traffic could
be distinctly traced by me, running irregularly through the crowded
quarters and parks alike, and ending in the broad quays alongside
the waters of the harbour. Many ships of various shapes and sizes,
but mostly appearing to be fishing vessels, lined these quays and
were also visible in numbers on the placid surface of the circular
harbour itself, which was contained by two outlying rocky
promontories crowned on either tip by a low light-house.
CITY & HARBOUR OF TAMARIDA
I was interrupted in the midst of my many interesting discoveries and
observations by the sudden entrance of one of my equerries, who
was followed by the Arch-priest demanding an audience. Left alone
together, I instinctively put myself on my guard, assuming as well as
I could an air of naive simplicity. Despite his deferential words and
attitude, I could not fail to detect the deep-set twinkle in his eye as he
proceeded to inform me of the object of his mission. At the same
time, however, I felt certain that I must have produced a favourable
impression on the previous day, and from my deportment both now
and in the future I warmly hoped to be able to hold the old man's
approval, for something in my inner consciousness, a species of
sixth sense, assured me he was ready to show himself my friend,
though doubtless a friend within certain limits that I had yet to learn.
The Arch-priest opened our talk with an apology for thus invading the
privacy of my apartments without previous warning, excusing himself
for his intrusion by the urgent necessity of the occasion. He then
informed me that on the next day the ceremony of my coronation
was fixed to take place in the temple, which he pointed out to me
from the balcony. "You are in the eyes of your subjects, as you know,
the Child of the Sun, whom alone we worship in Meleager, and who
sends you as a king to rule over his favoured people. You will
therefore be presented in public by myself and my colleagues of the
Sacred College to the populace; you will be robed and crowned; you
will extend your formal blessing to them; you will offer incense at the
crystal altar of your Father the Sun, in the great courtyard of the
temple; and after that you will mount the sacred white horse so as to
ride in full majesty through the streets of the city in the presence of
your subjects. It will be a long and tedious series of ceremonies, yet I
flatter myself that each one of these rites will not be without interest
to you, seeing the lengthy spell of authority amongst us that lies
ahead of you. I myself shall be at your side throughout, and you may
rely with safety on my tutelage in any event."
Other advice and suggestions the Arch-priest likewise imparted to
me, amongst the rest that Hiridia would in course of time teach me
the spoken language of Meleager. "Ever since your immersion in the
mystical well," so my companion proceeded, "you will experience an
acceleration of all the faculties, which in your case were already
highly developed when on Earth. Moreover, the tongue of the
Meleagrians, which under Hiridia's teaching you will soon acquire, is
not a written language, and none outside our hierarchy of the Temple
of the Sun can read or write at all. Indeed, our only archives are in
Latin, since for reasons which it is not expedient for me to mention at
this point we have always vigorously opposed the casting of the
popular speech into a literary form." This last statement the old man
made in a very solemn manner, looking me full in the face as though
to catch any motion or expression of surprise or disapproval. But I
had set my countenance unflinchingly, and received his confidences
with perfect outward composure, whereupon the Arch-priest leaned
back in his chair with a faint sigh of relief which by no means
escaped my watchful notice. Having received this minor secret of
Meleagrian state craft so calmly and suitably, I was hoping to glean
yet more information on the traditional polity of the governing cabal
of my kingdom, but on this occasion I was doomed to be
disappointed. For the Arch-priest arose abruptly, and leading me to
the balustrade of the gallery began to point out and explain to me the
various buildings and salient features that were discernible from this
spot. In most cases I found I had already guessed correctly, my
intelligence and perspicacity evidently serving to strengthen the
favourable impression I had already created. The Arch-priest then
led me to the other side of the building and introduced me to the
private gardens of the palace, a delightful pleasance, full of
subtropical verdure and flowers and overshadowed by tall palms and
cypresses. Fountains with marble basins were frequent, and their
constant plashing made an agreeable sound in the intense quiet of
this retreat. I noted too that every fountain was circular in shape, and
that everywhere were to be seen endless representations of the sun,
whilst the many lackeys or slaves attached to the royal service bore
the same design woven in gold and blue on their breasts. Returning
to the gallery overlooking the town and harbour, my companion bade
me listen to the hum of voices and the din of traffic that rose from
below into the warm air, striking on my ears with the mingled sounds
of a teeming city.
"Tamarida is filled to overflowing with your loyal subjects,"
commented the Arch-priest; "who are all agog to behold to-morrow's
function; and even now the town is hourly receiving innumerable
visitors from the country districts and from your Majesty's second city
of Zapyro, which is ever jealous of the capital for its possession of
the person of the Child of the Sun." He paused for a moment to give
me another of those arch glances from his kindly, humorous old
eyes; but I only nodded and smiled amiably. "Thousands of faithful
citizens too from your Majesty's colonies on the wild rocky coasts of
Barbaria yonder to the north (and he waved his arm to indicate some
distant land beyond the enclosing hills) are hastening hither to
behold the reincarnation of the Child of the Sun, concerning whom
their parents have doubtless told them wonderful tales. See those
boats with bellying sails that are even now entering the harbour's
mouth; they are all freighted with excited pilgrims, men, women and
children, drawn hither to assist at a spectacle of outward splendour
and interior sanctity that your Earth, notwithstanding its illimitable
wealth and its superior population, cannot produce. They tell me
(and here the old man's eyes again twinkled mischievously) that one
of your own many religious cults is ruled by a priest who claims and
receives divine honours. He is said to be elected by a college of
saintly and venerable brother priests, and to be borne aloft with
pomp and acclamation on the shoulders of men of noble birth. I
have, of course, never seen the ceremonies of modern Rome (which
city I hold in especial esteem as having been in ancient times the
origin of our official written language), but in this one crucial instance
this consecration of an earthly high priest must yield to ours. For
there is (so I am informed) no unanimity of opinion, no universal
acceptance of the chosen pontiff; whilst here the King who is
provided by our hierarchy is acknowledged by all without hesitation
or limit as the connecting link between the divine and the human,
whose presence is absolutely essential to the welfare of his subjects.
Our King is the peculiar guerdon of our sole Deity the Sun to his
favoured people, on whom from time to time he deigns to bestow a
member of his own family for guidance and example."
At length the Arch-priest took his departure, and I spent the
remainder of the day agreeably enough in the society of Hiridia,
whom I set to teach me the names of every object in sight. I had
already requested the Arch-priest for pen and ink and paper, and
after a visible tendency to demur he had yielded to my demand, a
plentiful supply of beautifully prepared rolls of vellum, an ink-horn
and some quill pens being brought me. I now wrote down
phonetically the name of each thing supplied me by Hiridia, placing
its English equivalent opposite. I was quite astonished at my
progress in the course of a few hours' application of this nature, and
the sun was low in the western sky when my patient tutor made
respectful signs to me to rise and follow him. I soon grasped his
intention, for he led me through the gardens to an open court where
two young nobles were playing at some sort of hand-ball. A slave
now removed my mantle and tunic, to exchange them for a short
linen garment, whilst a pair of hard leather gloves were likewise
supplied me. We four now fell to play with zest a game that was so
reminiscent of the hand-fives of my school-days that I learned the
science, the rules and the method of scoring in a very short space. I
thoroughly enjoyed the healthy exercise, which in due course
produced a copious perspiration, and thus we amused ourselves till
the final sinking of the sun brought our game to a close for lack of
light. At this moment I heard the prolonged blare of a distant trumpet,
and straightway perceived my three companions sink to their knees
for a short but silent prayer. Then they rose and led me to the
thermal baths attached to the palace, where I indulged in a further
bout of sweating followed by a plunge in cool water. After resting I
dressed myself again, and with an excellent appetite made my way
to the banqueting hall, where I partook of the last meal of the day.
On this occasion a band of professional players with unfamiliar
instruments provided us with music, which I found neither better nor
worse than many of the concerts I had been obliged to attend at
various times upon Earth. Pleasantly fatigued, at last I sought my
bed-chamber to ponder over my late experiences of the first twenty-
four conscious hours I had spent on the planet of Meleager.
Early on the following morning there were abundant signs to warn

me of the great impending event. All was bustle and animation within
the palace, and at an early hour the Arch-priest himself was
announced to give me some final instructions. Soon afterwards a
litter was brought, borne by a number of servants dressed in what
was evidently their gala livery, and in this equipage I was placed,
behind carefully closed curtains, and was thus conveyed up many
long flights of steps to the precincts of the temple above. Here on my
arrival I found the Arch-priest and several members of the hierarchy
awaiting me, and was informed that first of all it was necessary for
me to hold a levée of the whole of the ruling Council of the Seventy. I
cannot say that this prospect afforded me any pleasure; still, I
prepared to comport myself with the necessary amount of calm
dignity I deemed fitting for the occasion. I was next ushered into a
large hall, where in a semicircle were seated a large number of these
all-powerful patriarchs clad in their robes of flowing white. I was
directed to a throne opposite them, and at once began to hold my
formal reception, each member of the Council being presented to me
in turn by the Arch-priest. In every case, mindful of our royal Court
procedure on Earth, I proffered my right hand for a kiss of salutation,
and at the same time set my face to exhibit no sign of anxiety or self-
consciousness, for I realised that I was amongst the keenest and
most critical intellects of the kingdom, who regarded me not in the
light of a true monarch, but rather as their own creature, a thing
raised by their choice and efforts from mere nothingness to a
position of extreme though false magnificence. Nevertheless, I was
not so much preoccupied with the mastery of my feelings that I failed
to note carefully the face and expression of each individual member
as the councillors filed before me in a long moving stream that
seemed to flow interminably past the throne, so prolix and lengthy
was the Arch-priest in his style of presentation. Vainly did I look for
the appearance of my Herthian friend Signor Arrigo d'Aragno
amongst their number, but either he was absent or else was so
skilfully disguised that I failed to detect his presence. One little
circumstance I observed was that whereas all the Meleagrian men I
had hitherto seen wore moustaches, these grandees of the
governing caste were all either clean-shaven or else owned beards
of an imposing length. Nearly two hours were consumed in this
fatiguing occupation, and thankful I was when the last sharp-eyed
senator had returned to his seat.
I now arose of my own motion, and expressed a desire to quit the
chamber of the councillors, whose atmosphere somehow oppressed
and irritated me. The Arch-priest accordingly led me into a closet
adjoining, where I sat down on the pretence of fatigue. Ere long
however to my relief I saw Hiridia approach, followed by my two
equerries and by some servants of the palace bearing large bundles,
which I perceived contained the regal robes of state. A priest
certainly stood beside me, but he made no attempt to interfere with
Hiridia's arrangements. First of all, I was stripped to my inner
vesture, after which gorgeous blue leather buskins with heavy gold
tassels and laces were fitted to my feet. Next a tunic far more
elaborate than my usual one was donned; then a mantle of an
appalling weight but of a surpassing splendour was hung from my
yielding shoulders. On the mantle itself was embroidered a device of
the blazing sun in heavy gold thread, whilst the rest of the surface of
the cloak was thickly patined with golden stars. The mantle was
fastened by a clasp composed of a huge cabochon sapphire of
perfect water set in a circle of flashing diamonds. At this moment the
Arch-priest returned, resplendent in festal robes of white silk fringed
with gold and with a tall golden mitre on his head. Thus habited, he
appeared a striking and venerable figure, for his superior height, his
flowing white beard, his pleasant brown eyes and his delicate
complexion all combined to make a most favourable impression on
the beholder. On a cushion he carried the regal crown, of the type
known to heraldry as "palisaded," and not unlike the diadem worn by
the Medicean Grand Dukes of Tuscany, as shown in their pictures
and effigies. My crown was all of gold with the exception of one large
oval sapphire surrounded by brilliants for its central ornament. This
object the Arch-priest now carefully placed on my head, not a little to
my trepidation until I realised that, whether by accident or as the
result of forethought, the heavy circle fitted my cranium to a nicety.
The finishing touch consisted in fastening solid gold armillæ, or
bracelets, set with sapphires on my wrists.
Thus gloriously apparelled, I must on standing up have presented a
truly noble and imposing appearance, and I say so without shame of
conceit or vanity. I was many inches taller than the tallest of my
companions; thanks to my bath in the Fountain of Rejuvenation I had
a clear white skin, a sparkling eye, and an elegance of carriage that
have rarely been seen by mortal man; whilst the extreme fairness of
my complexion and the sheen of my long locks in contrast with so
many dusky skins and black heads of hair seemed to attract to
themselves some kind of shadowy semi-divine aureole, such as
Benvenuto Cellini describes as investing his person after his
colloquy with the Blessed Virgin and St Peter in his cell of the castle
of Sant'Angelo. I was well aware of the sensation I aroused in all
present, even in the Arch-priest; and a thrill of elation, of confidence
in the future, possessed me through and through. Whether or no
these saturnine priests of the Temple of the Sun chose to regard me
as their puppet, their slave, what was that to me? I realised that my
marvellous beauty at this moment was an asset whereof nothing
they could say or do would lessen my influence in the eyes of the
mass of the people I was about to face. All misgivings and tremors
left me, as I prepared boldly to move forward and take my part in the
coming pageant.
To a terrific blast of trumpets and to the explosions of some
antiquated-looking mortars that stood on the temple parapet, our
procession filed through a narrow doorway on to a broad marble
platform. First emerged the nobles attached to the Court in their
crimson gala robes, then the priests, a long sinuous line of snowy
white; behind them walked the Arch-priest, whilst last of all appeared
myself, a tall commanding majestic figure with my equerries to
uphold my glittering mantle. My entry into sight of the vast multitude
that thronged the courtyard below the platform on which we stood
was first greeted by a spell of perfect silence, which in time changed
to a long low murmur of approval and awe, and finally to a
resounding roar of satisfied delight. Slowly did our long train of
nobles, priests, choristers and attendants unwind and fall into proper
groups in their assigned places, the whole scene reminding me of
some wonderful ballet on an immense stage, with its blending and
massing and dividing of the colours of white, red, gold and blue, like
the intricate movements of some stately dance.
At last only the Arch-priest and myself remained standing in the
central space of the platform, when the former, after an obeisance of
a cringing humility of which I had hitherto deemed him incapable,
conducted me to a throne beneath a canopy of blue and gold. From
this point, during the performance of some singing, I was enabled
surreptitiously to examine the component parts of the huge crowd
beneath. Immediately under the dais were numbers of persons who
were all characterised by wearing green in some form or other, either
green tunics or mantles or scarves. As these seemed to occupy the
better and reserved space in the courtyard I concluded (and rightly
so) that they were members of the middle or mercantile class, who
were given precedence over the general populace. The latter were
farther away, and were consequently more difficult for me to
distinguish. But it was a picturesque throng in any case, and
brilliantly coloured, for the robes were mostly in tints of yellow,
orange, violet, pink, cinnamon and other shades, though the four
colours of blue, white, red and green were conspicuously absent.
Men, women and children were visible in the crowd, all of them being
small dark people of the type already exemplified in the few persons
I had hitherto seen. Part of the court was enclosed by double
colonnades that supported upper chambers screened by lattice-work
from inquisitive eyes, like the discreet convent windows I used to
observe in the highest storeys above the streets of Naples and
Palermo. Behind these screens were evidently many spectators, and
from the shrillness of the voices issuing hence and from other
indications I gathered that the occupants of these galleries were
mostly women. As a matter of fact, one side was reserved for the
ladies and children of the nobility, and the other for the female
inmates of the college of nuns or recluses attached to the Temple of
the Sun, of whose duties I mean to speak later.
After a long interval of chanting, at a sign from the Arch-priest I rose
and gave a benediction to the assembled crowd by raising my right
arm and slowly turning round so as to envisage the whole assembly.
This was made the excuse for more applause, and when this had
subsided more canticles were intoned. Again I imparted the required
blessing, after which a golden censer was brought me and I was
assisted to advance towards a small altar, formed apparently of solid
crystal, whereon the sun's rays were falling in blinding coruscations
of light. Here I offered up clouds of incense in the direction of my
supposed Parent, the whole multitude kneeling in the most profound
silence and in the most decorous attitude of rapt attention. For fully
ten minutes I must have been swaying that heavy censer, and what
with the weight of my robes, the scorching heat of the sun's beams,
and the extreme tension caused by the magnificence and novelty of
my situation, I felt almost at last ready to drop from sheer
exhaustion, when the Arch-priest again came to my rescue and
relieved me of the smoking thurible. More cheering, more intoning,
more ceremonious movements, till ultimately I found myself with the
Arch-priest on one side of me and Hiridia on the other, making my
way off the platform. I was forthwith led to a chamber furnished with
long tables whereon was served a collation of which I stood
considerably in need. I then learned I was being entertained thus by
the body of the hierarchy, so that once more I felt the necessity of
exhibiting no sign of fatigue or of astonishment. The meal was of
brief duration, for the day was well advanced by this time, and there
still remained the important state entry and procession through the
streets of the capital. Quitting the temple precincts I found a
cavalcade, or guard of honour, awaiting me, whilst some pages were
holding a horse in readiness for me. My steed of state was of a
remarkable aspect, for he was pure white with a strong tint of flesh
pink showing through his coat, and with pink ears and muzzle. His
flowing mane and tail had also been dyed of a blue colour, and, most
marvellous thing of all, his eyes showed of a clear light blue.
Afterwards I learned that this animal belonged to a breed that is
specially reserved for the use of the Child of the Sun on state
occasions, and that certain families possess hereditary rights in
connection with the breeding and training of these uncanny
quadrupeds. With a saddle and bridle of blue leather richly
ornamented with gold this white stallion stood ready caparisoned for
my person, and with some assistance owing to the weight of my
cloak I managed to mount without conscious loss of dignity. My long
mantle with its gorgeous devices was deftly spread over the horse's
back; my feet were fixed in the clumsy bucket-like stirrups, and the
reins placed in my hand. Thus seated, with Hiridia and other nobles
walking beside me, I was ready to start, whereupon my mounted
escort in their picturesque chain-armour led the way with a clanking
sound.
Leaving the temple gates we soon crossed a bridge spanning a
rushing river whose precipitous banks were thickly clothed with rich
vegetation of palm ferns, poinsettias and other tropical plants.
Pursuing our course we turned sharply to the right, whereupon I
almost immediately found myself in the streets of the capital with the
prospect of descending a very narrow steep paved roadway that led
eventually to the beach below. The streets themselves being too
narrow to permit of the presence of spectators, every window and
flat house-roof, and indeed every possible coign of vantage, was
occupied by the citizens of Tamarida, who all evinced the liveliest
enthusiasm in thus beholding their new sovereign in his progress.
Much to my relief my horse contrived to pick his way without mishap
down that fearful lane, which now and again broke into actual steps,
like the dingy mediæval streets of old Naples. Every second I was
dreading a stumble on the part of my queer-coloured steed, and a
consequent loss of majesty to myself; each moment I feared for the
fate of my weighty diadem. Mechanically I continued to smile and to
scatter benisons upon the vociferous crowds of loyal subjects, the
while I trusted to my own good luck as well as to Hiridia's careful
guidance; and it was with a sense of unspeakable gratitude that
eventually I reached the water-side that was lined with shipping of
which every yard-arm was positively bristling with eager brown
humanity. For some little distance we now pursued the curved line of
the shore, and then crossing another archway entered a gate
opening into the lower portion of the palace gardens. Here a large
number of servants, gardeners and labourers, with their families,
was drawn up to cheer and to prostrate themselves before me, and I
concluded my ride had drawn to an end. But it was not so, for I had
to cross the gardens and by means of another bridge or viaduct to
enter the southern quarter of the city and to repeat my previous
experience, with the important difference that this time I had to
ascend instead of descend the long narrow winding streets. This at
any rate was an improvement on my former trial, and I carried it
through with apparent unconcern, although it seemed an
interminable time before I was finally quit of the crowds and the
streets and was once more on my feet and in the purlieus of the
palace. Thus did I accomplish successfully the not inconsiderable
task allotted me on my second day in Meleager, and albeit hot and
exhausted by my exertions, I flattered myself internally that I had
borne the long ordeal of my coronation ceremonies with distinction.
It was almost dark when I dismounted from my peculiar but
trustworthy palfrey, to seek the peace and privacy of my bed-
chamber, where I was assisted to unrobe. A warm bath and a cool
plunge soon refreshed me, so that I felt capable of facing any further
demands on my bodily or mental strength that might be required of
me that night. There was a grand banquet with music and some
display of dancing and conjuring, but nothing more occurred of
special interest, though I was glad to observe and feel that I had won
the warm approval of the nobles of the Court, who sat feasting round
me. Thus ended my coronation day, and right glad I was to retire to
my bed and to sleep off the fatigue and excitement of its many
strange incidents.
I trust I have not wearied or disgusted the reader with my lengthy
account of all these events that took place during the first two days
of my reign in Meleager. Portions of what I have thus described will, I
fear, seem somewhat disjointed and obscure, but in excuse I can
plead that so did they also seem disjointed and obscure to myself at
the time, for at this early stage I had naturally learned next to nothing
of the peculiar conditions prevailing in my new kingdom. These I
intend to treat of in my subsequent chapters, whereby I hope to
throw some light on my own anomalous position as a semi-divine
monarch, on the composition and aims of the hierarchy, on the social
status of the various classes composing the realm, and on the daily
life of myself and of my people.
V
At this very early stage I had naturally not acquired the native
language of Meleager, and my sole communication was carried on
with the Arch-priest in a classical tongue. Besides this, apart from
the restricted nature of our intercourse, it was tolerably clear to me
that the members of the hierarchy as a whole showed themselves
anxious to suppress rather than to explain to me their guiding
principles of polity. With this impression firmly fixed in my mind, I
became more than ever eager and determined to learn the native
language with all speed, so that for the next few weeks I abandoned
myself with the greatest diligence to this object. What with my
sharpened wits and with my close application I made unexpectedly
rapid progress; nor should I omit to pay my tribute of gratitude to
Hiridia's pains and patience in this matter. For many hours daily we
engaged in our task, and, with the exception of taking the exercise
necessary for health, practically all my working time was occupied in
linguistic efforts. My toil was well rewarded, for after no very great
length of time I had the satisfaction of perceiving that daily I grew
more and more proficient in my subject, so that I was able to
converse with Hiridia with some degree of fluency and mutual
understanding.
This interval of vigorous study must have lasted about three months
in all, and in spite of many hints from the Arch-priest I firmly refused
to leave the precincts of the palace until I had gained the mastery of
the native tongue. As to whether this attitude of close seclusion
caused disappointment in the capital or annoyance among the
members of the council I paid no heed, but only showed my inflexible
resolution on this head. Having once succeeded completely in my
design, I made every effort to draw from Hiridia all conceivable
information about the land and people I had been called upon to rule,
my questions ranging over the whole field of possible inquiry. I
certainly did in this way contrive to amass a certain amount of
valuable knowledge, although I was by no means satisfied with all
the answers and explanations I received. For, if it was plain that the
Arch-priest and his colleagues were averse to supplying the required
details, it was equally plain that poor Hiridia with all the good
intentions possible was excessively ignorant of his own
surroundings; for instance, he could tell me next to nothing of the
mode of life, the general conditions and the interior affairs of any
class of the realm save that of the nobility to which he himself
belonged. As to the hierarchy, on which subject I plied him with the
greatest tact, I had to conclude that, whilst regarding the ruling caste
with unmeasured awe and respect, he was at the same time in
nowise intimate with any of that elusive body, though its members
were drawn solely from his own class and were in some cases his
own relations. Thus was I compelled to build my edifice of
knowledge and discovery of bricks without straw, so that often I was
fain to lose my temper in my fruitless endeavours to attain the truth;
happily, however, my patience and perseverance triumphed over my
natural exasperation. Daily I made careful notes in English on my
parchment, altering or adding to these notes from time to time, as
further inquiry or observation served to throw more light on the main
subject of my study. And it always amused me to observe the look of
profound admiration, even of alarm, wherewith Hiridia used to regard
the cabalistic scrolls I daily annotated on my table, which stood in the
long gallery facing the sea. At the same time I grew to learn that my
tutor's reverence was mingled with an intense feeling of loyalty and
devotion to myself, so that I instinctively knew that his life would be
willingly risked in my service, should any evil chance arise. Thus my
reputation of semi-divinity in this instance certainly carried some
advantages with it! As to the Arch-priest, who always insisted on
speaking in Latin to me, I did not indeed look for the same
unwavering fidelity as I found in Hiridia, yet with that curious extra
sixth sense of mine, that is never at fault, I knew he was pleased
with my painstaking efforts, and that he was for the present at least
very much my sincere friend and champion.
I think I had better at this point in my narrative offer a brief

description of the average day that I spend, so as to afford the
reader some notion of my duties, my pleasures and my occupations
—that is, of course, after I had succeeded in mastering the language
of my kingdom. The course of time being reckoned in Meleager after
the old Italian mode of counting the twenty-four hours from the
uprising of the sun, at the first streak of dawn watchers in the temple
proclaim the new-born day, by firing a piece of ordnance. This is
succeeded by loud trumpet calls in the barracks of the soldiery, and
the whole city awakens. Every one leaps from bed, and kneeling
repeats the following short prayer to the Sun:
"O Sun, mighty King, Father of Lights, I bless thee and thank thee for
another day! It is Thou alone that canst gladden our hearts, warm
our homes, nourish our crops, sweeten our grass, ripen our fruits. By
Thy Light alone Thy servants can live and adore Thee. Blessed be
Thy Face once more appearing!"
This simple formula is the universal morning prayer on Meleager,
whose inhabitants are true sun-worshippers, in the sense that they
attribute all good and all gifts to the sun's visible power and majesty
that are daily revealed to them. As for myself, however, being
deemed the Child of the Sun, I do not consider it incumbent on me to
indulge in this matutinal act of worship, though each dawn I wake to
see my servant lying prostrate on the floor with face turned
reverently towards the east. The act of prayer performed, he
approaches my couch with a goblet filled with some sort of mineral
water of a slightly bitter flavour, that is invariably swallowed before
arising. I then have a rather perfunctory bath in an adjoining room,
submitting myself to a rapid ablution with water slightly perfumed
with verbena, a scent that is reserved exclusively for the royal use. I
dress in the manner previously described, and am then ready for my
breakfast, which is usually set out in the open gallery that is already
flooded by the warm early sunlight. My repast consists of coffee
(which is extensively cultivated here), together with thick cream, a
manchet of fine white bread, and a platter heaped with superb fruit. I
leisurely enjoy these dainties and then (what on my first
acquaintance afforded me equal pleasure and surprise) I proceed to
smoke a cigar, or large cigarette, consisting of coarse granular
tobacco rolled in maize leaf, like the type of cigarette affected by the
natives of Brazil. For tobacco is largely grown here, and its leaves
are put to many uses, including this last-mentioned agreeable
purpose.
Whilst I am enjoying my fragrant cigarette, Hiridia invariably appears,
bringing me the news of the day, and thus conversing we soon stroll
into the gardens that are still fresh and gleaming with the dew. As I
stand about six feet three inches, and perhaps a trifle more, and my
tutor is of the average Meleagrian height of five foot five inches, I
used at first to find our walks on the terrace rendered unsatisfactory
by reason of our disparity in stature. To remedy this, I have caused a
low platform of stone to be constructed the whole of its length some
ten inches above the ground, and along this erection Hiridia now
walks beside me so that we can chat at a convenient level. I thought
the Arch-priest rather inclined to boggle at this suggestion, but I
contrived to carry my point all the same.
At the third hour of the day begins my work. First of all I hold an
audience, which is attended by the Arch-priest and some other
members of the hierarchy, whereat various matters of state
concerning the needs of the community, or the colonies, or the
troops are broached and discussed. An hour or more is generally
exhausted in this business, and by the fourth hour or a little later I
issue from the palace with a military escort and shadowed by the
umbrella of state to the judgment hall of the people, which is situated
in the city itself. (Or rather, to be quite explicit, I visit thus the two
courts of the northern and southern quarters of Tamarida on
alternate mornings.) Here I take my seat on a dais, and dispense
justice and advice to all and sundry in a fashion that constantly
reminds me of the multitudinous duties of a London stipendiary
magistrate, though the conditions of the two cases are happily very
diverse. My suppliants are drawn almost wholly from the lowest
estate of the realm, and sometimes the points submitted to my
judgment are of the most trivial character. But I sit and listen with all
the patience I can command, and then announce my verdict with all
the care and circumspection whereof I am capable. It is pathetic to
observe the intense faith my people have in my decisions; a suitor
who has lost his plea may perhaps feel disappointment, but he is
obviously fully resigned to my judgment, and accepts my award as
absolutely just and final. In short, the popular confidence in my
wisdom and sense of equity is unbounded, as the large and ever-
increasing roll of my daily petitioners can testify.
At noon a discharge of cannon, such as one still hears in the large
Italian cities at midday, resounds through the air, and the business of
the court is hurried to a conclusion. Everyone now retires to dine and
sleep, for at least two hours' space of rest is allotted to the whole
community. I return to the palace with my escort, quite ready for my
midday meal, which usually consists of eggs, fish, bread and fruit,
with plenty of the rough red or white Meleagrian wine, that is both
palatable and wholesome. To this repast I am in the habit of inviting
various members of the nobility, and I always find these small
informal parties far preferable to the rather dreary public supper of
the Court, which takes place each evening soon after sundown. After
eating, I sometimes play at chess (which is a very popular game
here) with one of my invited friends, whilst my other guests amuse
themselves as best they may; or at other times I listen to tales or
poems recited by such as aspire to become distinguished in this
department of Meleagrian social life. About the ninth or tenth hour I
walk in the gardens, and after that I change my clothes so as to
enjoy a vigorous game of hand-ball, which usually lasts till dusk.
After my exercise follows the bath, a lengthy but delightful daily
experience, for after the usual sweating and course of rubbing in the
heated chambers, one can plunge into a deep basin of cool water.
This pool also contains a cascade of artificial construction that one
shoots, in the manner employed by some of the islanders of the
South Seas, the bather being hurled over the falling volume of water
into another deep pool below. By swimming rapidly for a few strokes
beneath the surface one emerges farther on in the calm clear water
of a large natural basin that is fringed with ferns and verdure. A rapid
stream flowing down from the mountain-tops above through a
precipitous channel has at some time or other been cleverly utilised
in the construction of this cataract and lower pool, which have been
incorporated in these bathing arrangements for the palace.
Afterwards, I rest a while before dressing, when I proceed at my own
convenience to the large banqueting hall, though not before a salvo
of trumpets has given the signal that the workaday phase of
Meleagrian daily life is ended. All toil save that of domestic service
now ceases, and the whole city of Tamarida willingly resigns itself to
rest and recreation until the morrow's dawn. At the evening meal
eaten in public I remain but a short time, and then retire to my own
apartments, whither I summon, if so disposed, such persons as I feel
inclined to honour with an interview. Often however I sit or pace
alone for hours in the darkened or moonlit solitude of my loggia,
meditating on my strange fate and concocting plans for my future
course of conduct.
Such is the outline of my average day, but this programme is often
varied. In the first place, every seventh day being a public day of
thanks-giving and rest from labour, I have to attend the necessary
ceremonies in the temple instead of holding my informal court in the
city. On these days, too, I usually ride afield with some of my
courtiers, generally to go hunting into the wild mountainous region
behind the temple, where the keen air and the wide views over sea
and land seem to freshen my body and my spirits. Occasionally I pay
a visit on horseback to the seat of some hospitable nobleman,
whence we return late at night. At other times I honour some country
village with my presence, much to the delight and surprise of its
inhabitants. There are no books, as I have already explained, so that
in reality my life is necessarily compounded of action and meditation,
which on the whole has not hitherto caused me weariness or disgust.
Whether or no I shall always rest thus contented with this
monotonous routine of splendour and duty is a disagreeable and
anxious question that I try, with only moderate success, to thrust into
the background of my thoughts.
VI
Not a day passes here but that I lament my crass ignorance of even
the elementary principles of astronomy. In my school-days I was
never taught the use of the celestial globe, though my young brains
were burdened with the problems and theorems of Euclid, with
Greek enclitics and other scholastic lumber, dear to the dry-as-dust
soul of the English pedagogue. Such books dealing with the heavens
as I chanced to read in later life failed to leave an abiding impression
on my adult mind, with the result that now I can only bewail uselessly
the gaps in my early education. I mention this defect for a special
reason—namely, to crave allowance for the tentative character and
amateurish account of the features of my planet, which I want to
present to the reader.
From such calculations as I have made for myself and by myself I
believe the planet of Meleager to be insignificant in comparison with
the Earth. Possibly I may be mistaken in stating that its whole
surface is barely equal to the area of Australia, yet that is my
opinion. Its climate is subtropical in the central zone, gradually
tapering to temperate and cold towards its poles. Roughly speaking,
the "Regio Solis," the spreading peninsula that forms the main
portion of the kingdom of the Child of the Sun, possesses the climate
of Egypt or Mexico. Its summers are long and warm, though never
disagreeably torrid; its winter is of brief duration and normally wet
rather than cold, snow rarely falling near the coast. The changes of
spring and autumn are little marked, so that the whole course of the
year seems to consist of an extended warm season followed by a
spell of wet and cold. Southward of the Region of the Sun there
extends an apparently trackless ocean, on whose waters, I am told,
there is no land visible save a few barren islets and rocky reefs. But
then exploration for exploration's sake is wholly alien to the
Meleagrian outlook, and I much doubt whether the light sailing
vessels of the fishermen (who alone tempt these southern seas)

Exploring Economics 6Th Edition Sexton Test Bank Full Chapter PDF

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Exploring Economics 6Th Edition Sexton Test Bank Full Chapter PDF

Uploaded by

Copyright:

Available Formats

Exploring Economics 6th Edition

Sexton Test Bank

21. The supply curve for land is perfectly elastic.

23. Labor unions create barriers to entry in certain work settings.

29. Demand for inputs is a derived demand because:

31. The demand curve for labor slopes downward because:

34. The marginal product of labor measures:

Workers Output Product Price Wage Rate

Workers Output Product Price Wage Rate

43. The profit-maximizing firm should lay off workers when:

Workers Output Product Price Wage Rate

Workers Output Product Price Wage Rate

47. The market supply curve for labor:

48. Improvements in the productivity of labor will tend to:

49. Improvements in the productivity of labor will tend to:

50. When wages increase:

53. At a higher wage rate:

56. When the wage rate increases:

57. The income effect of a wage increase:

65. Which of the following are examples of job amenities?

66. Exhibit 16-1

77. An increase in the price of a resource would cause:

79. Which of the following is likely to increase the supply of labor?

86. Which of the following could be considered an example of a monopsony?

87. All of the following are characteristics of a monopsony employer except:

88. Which of the following is likely to reduce the impact of a monopsony?

89. Which of the following is true regarding labor legislation?

92. Labor unions:

95. Featherbedding refers to the practice of:

101. Collective bargaining refers to negotiations between:

110. The supply curve for land:

112. Changes in the rental price of land is largely determined by:

113. Interest is the payment for the use of:

116. The quantity of funds supplied by lenders is:

118. An increase in the interest rate will:

119. A decrease in the interest rate will:

120. An increase in the interest rate will:

121. A decrease in the interest rate will:

Capital Current Cost Return on Capital

124. Exhibit 16-2

Capital Current Cost Return on Capital

125. Exhibit 16-2

Capital Current Cost Return on Capital

126. Exhibit 16-2

Capital Current Cost Return on Capital

127. Exhibit 16-2

Capital Current Cost Return on Capital

129. Lower wages will

130. The MRP curve for labor

131. When wages decrease

132. When wages increase, the income effect

133. For an individual's supply curve of labor to be upward sloping:

137. If there is an increase in demand for a good,

142. The demand for labor of a perfectly competitive producer:

148. A productivity slowdown could result from

149. Which of the following would tend to raise real wages?

151. An individual firm in a perfectly competitive labor market faces:

153. Labor unions

154. Labor unions:

155. If unions are successful at increasing union wages, it will

160. Exhibit 16-3

Refer to Exhibit 16-3. Which of the following situations is relevant to Case A?

Refer to Exhibit 16-3. Which of the following situations is relevant to Case A?