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In the course of producing its output, this firm causes pollution. The government passes a law that requires the firm to stop polluting, and the firm discovers that it can prevent the pollution by hiring 0.2 workers for every worker that is producing output. Let N denote the amount of labor in production. The total employment at the firm is 1.2N. Cost of hiring a production worker includes both his wage and the wage of the worker who cleans after him, hence is 1.2w. Determine the effect of the pollution regulation on the firms profit-maximizing choice of labor input.
Is there anything in what we have studied, that can point us towards an equitable solution to this problem while still protecting the environment we all share? What is that solution?
The population of Ectenia is 100 people: 40 work full-time, 20 work half-time but would prefer to work full-time, 10 are looking for a job, 10 would like to work but are so discouraged they have given up looking, 10 are not interested in working beca..
Discuss Whether or not Nicole is an independent contractor. While visiting with Z-1, a leading car manufacturer, in an attempt to secure its business.
Keith ledger started a business, Gotham Games, in January 2016. The transactions that occurred in January are listed below. Keith opened a bank account in the name of his new business, Gotham Games, by making a deposit of $75,000 cash in exchange for..
In the United States, the distribution of income is more unequal than the distribution of wealth. Explain this idea and address how reducing inequality could be a macroeconomic goal. Finally, what insights would Marx provide on understanding why ineq..
The demand for milk is more elastic than the demand for water. Suppose the government levies an equivalent tax on milk and water. W hy he deadweight loss would be larger in the market for which item.
How does an increase in the expected rate of inflation shift the Phillips curves?
The bond pays $60 per year in interest and is selling in the market for $965. It matures in 7 years. Market rates are 10% annually.
Takashi has non-labor income from his investments of I = $60 per day, and can earn an hourly wage at his job of $20 per hour. Write a formula for Takashi’s budget constraint as a function of L (leisure hours) and C (consumption spending per day). Is ..
Find the effective annual interest rate (b) Use your result in (a) to find the value of the investment immediately after the 10th investment (use the algebraic form of any interest factors used).
Write an article about homelessness and poverty in your community, and how organizations (i.e. Salvation Army, Red Cross, churches, etc.) are helping. Write the article with the intention of publishing it in the community newspaper. How is your commu..
Draw graphs with quantities of pepperoni pizza on the horizontal axis and quantities of anchovy pizza on the vertical axis to illustrate the following situations. In each case draw an indifference map (bunch of indifference curves) and make a little ..
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