In 2015, an oil-drilling company wanted to cut its workforce because the price of oil had fallen. The workers’ trade union objected to this plan. Which circumstance would have helped the trade union during the negotiations?
- ACapital and labour were close substitutes.
- BThe cost of labour had been a small percentage of total cost.
- CThe demand for oil had been price inelastic.
- DThere had been a large supply of labour.