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A study in 2005 reported that the average male CEO of Fortune 500 firms is 6 feet, about 2.5 inches more than the average male. Why might this be difficult to eliminate through laws that restrict companies from hiring based on height?
a. Because this is an example of discrimination based on relevant individual characteristics, a firm has an economic incentive to discriminate.
b. Because this is an example of discrimination based on institutional structure, a firm has an economic incentive to discriminate.
c. Because this is an example of discrimination based on irrelevant individual characteristics, a firm has an economic incentive to discriminate.
d. Because this is an example of discrimination based on group characteristics, a firm has an economic incentive to discriminate.
Consider a production function of the form Y = AF (K, N, Z), where Z is a measure of natural resources used in production. Assume this production function has constant returns to scale and diminishing returns in each factor. What will happen to outpu..
Suppose you take out a $11000 loan at 10% in year one and pay it off with a single payment in year two. If your tax rate is 40%, what is the change in net cash flow in year two?
Suppose that the United States and the United Kingdom both use the gold standard. Their prices of gold are $35 = 1 ounce and £7 = 1 ounce, which yields an implied exchange rate of $5 = £1. Now suppose that the exchange rate temporarily rises to $5.50..
This chapter uses the analogy of a “leaky bucket” to explain one constraint on the redistribution of income. What elements of the U.S. system for redistributing income create the leaks in the bucket? Be specific.
The weekly sales of Honolulu Red Oranges is given by q = 1116 − 18p. Calculate the price elasticity of demand when the price is $31 per orange (yes, $31 per orange†). calculate the price that gives a maximum weekly revenue. $ Find this maximum revenu..
Did the economic recession we've experienced recently affect your organization
Compute the regular expenditure multiplier also the net tax multiplier if the level of consumption increases from $80,000 to $92,000 as a result of change in income from $120,000 to $140,000.
Elucidate the rationale and the implications of the new guidelines which used by the Department of Justice also the Federal Trade Commission for evaluating proposed mergers.
Using present value analysis math, discuss the cost and benefit of paying for 4 years of college. Make any assumptions you want about the market interest rates. Use math and discuss. Is going to college worth it?
What will be the CS, PS, tax revenues and deadweight loss? Suppose the government increases the tax to $4 per unit. What will be the new CS, PS, tax revenues and deadweight loss?
Is it possible to trade foreign exchanges in the future markets? How does such trading differ from the forward market?
In the case Discover Bank v. Owens, Owens received a Discover credit card with a limit of $1.900 and charged $1.460. The credit card agreement allowed Discover to add fees and increase her interest rate when Owens paid her bill late or did not pay in..
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