Question 1:

Suppose that technicians operating magnetic resonance machines form a union that effectively prevents new entry into the occupation, although no restrictions are placed on hours worked. An expansion of production of magnetic resonance scanning services will therefore involve

1. an upward shift of the horizontal supply curve for these services.

2. a movement along an upward sloping and upward shifting supply curve for these services.

3. an upward shift of the supply curve for these services.

4. a movement along an upward sloping supply curve for these services.

Choose the option that yields the correct answer.