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Workers are given a certain amount of payment for the work they do collectively. This work involves different level of task by each person but the workers decide to divide among themselves equally. Is equal division of pay is a good system?
You recently secured an employment with medical benefits. Is there a difference in your demand for medical care services before and after employment? Use two demand curves to show your consumption of medical care before and after this employment.
What are the two major economic concerns with discrimination in a labor market?
Starting with a positive output gap where aggregate demand is at a level less than full employment, assume that the annual Real GDP growth rate is equal to 4% and the annual supply side growth rate is equal to 2.5%. Aggregate supply will grow equal t..
Do you want economy-wide interest rates to increase or decrease on January 1, 2016 at 9:05am? Briefly explain.
What are the values of the slopes of the budget lines shown in the diagram, and what does the slope of a budget line tell us?
What is the lower bound of the 95% confidence for a sample of size 87 with mean 64 and standard deviation of 6 compared to a population mean
Flexible Felix views present and future consumption as imperfect substitutes and he discounts future consumption by a bit to reflect the uncertainties of his life. His utility function is given by U(C_0,C_1 )=3C_0+(4C_1) ⁄ ((1+δ) ) where δ (which is ..
Suppose you own a bookstore where you currently sell 25 John Grisham mystery novels per day at a price of $38 per day. However, if you were to reduce the price to $27, then you would d sell 31 John Grisham mystery novels per day. Using the midpoint f..
Find the amount of consumer surplus for a linear demand p= 20-2x for p=0 and p= 10. What is the maximum and minimum amount of CS a consumer can have for this demand and what are the prices? What is the inverse demand function for good x with the foll..
You are asked “Should we buy a house or not?” and given the following set of rules to answer it: IF inflation is low, THEN interest rates are low, ELSE interest rates are high. Prepare an inference tree for the backward-chaining case.
In December 1992, the government began requiring that food contain labels with nutritional information. The information had to be verified by independent laboratories. The price of verification was $20,000 per food item. What impact would this have o..
Some estimates for the cement industry suggest the following relationship between capacity and average cost: Capacity (thousands of tons: 250 500 750 1000 1,250 1,500 1,750 2,000 Average Cost: 28.78 25.73 23.63 21.63 21.00 20.75 20.95 21.50. Assume t..
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