Solution-Equilibrium wage and number of workers employed

Equilibrium wage and number of workers employed

Assignment Help Basic Statistics

Reference no: EM132519424

Four firms are looking to hire one graphic designer each. Firm A will pay no more than $50/hr, Firm B no more than $40/hr, Firm C no more than $30/hr, and Firm D will pay no more than $20/hr. There are four graphic designers in the area who are looking for work. Adam will accept no less than $10/hr, Brittany will accept no less than $20/hr, Chris will accept no less than $30/ hr, and Danielle will accept no less than $40.

(a) At a wage of $25, how many workers does the market demand? How many does the market supply?

(b) Calculate the equilibrium wage and number of workers employed.

(c) Suppose the government imposes a minimum wage for graphic designers of $40/hr. At that wage, how many workers are willing to work, and how many firms are willing to hire?

(d) Suppose that if the supply of workers exceeds demand, firms prefer to hire workers whose name begins with a letter that occurs earlier in the alphabet. Then at the minimum wage, which workers are better off than under equilibrium, and which are worse off?

Reference no: EM132519424

Questions Cloud

Calculate temporary differences for taxable profit : Calculate temporary differences for 2008, taxable profit and provide journal entries to register income tax for 2008. Pretax accounting income is USD 25,000

Profit-maximizing level of output : A monopolist has an inverse demand curve given by p(y) = 12 - y and a cost curve given by c(y) = y 2.

Digital forensics world : The Physical Model was based on the idea that people did not really understand the work involved in the digital forensics world or how to treat it in court.

Compute the company margin of safety expressed in units : Compute The company's Margin of Safety expressed in units, sales dollars, and as a percentage and The Contribution Margin Ratio for "You Rang?"

Equilibrium wage and number of workers employed : (a) At a wage of $25, how many workers does the market demand? How many does the market supply?

What might the web future expansion mean for nations : The Internet and greater access to information it can provide are forcing politicians to change their methods of governing. How might the Internet change.

What possible courses of action might you take : You are the president of a firm that publishes textbooks for medical students in more than 30 languages. On a recent trip to a university in a developing.

Firewall evasion lab assignment : Firewall Evasion Lab: Bypassing Firewalls using VPN - identify a website that you would like to block, set up the firewall, and then demonstrate

Calculate weighted average cost of capital for mccormick : Calculate the Weighted Average Cost of Capital (WACC) for McCormick and Company using the formula WACC = (WD x RD x (1-T)) + (WS x Rs)

User Account

All Pages

Equilibrium wage and number of workers employed

Reference no: EM132519424

Reference no: EM132519424

Questions Cloud

Reviews

Write a Review

Basic Statistics Questions & Answers

Statistics-probability assignment

What is the least number

Determine the value of k

What is the probability

Binomial distributions

Caselet on mcdonald’s vs. burger king - waiting time

Generate descriptive statistics

Sampling variability and standard error

Estimate the population mean

Conduct a marketing experiment

Find out the probability

Linear programming models

Assured A++ Grade

Academics

Major Subjects

Majors

Get In Touch

TERMS & POLICIES

HELP & SUPPORT