Suppose the demand for labor market is given by labor

Assignment Help Business Economics
Reference no: EM131109948

Suppose the demand for labor market is given by Labor = 408−2wage and the market supply is given by Labor = 10wage.

a. In a graph draw the supply and demand curves and find the equilibrium wage and amount of employment. Show the seller’s and consumer’s surplus.

b. Suppose a minimum wage is placed on wages that sets the wage at $50. Find the quantity demanded and supplied, and the amount of unemployment.

c. Calculate the deadweight loss from the minimum wage.

Reference no: EM131109948

Questions Cloud

Women in this market by working for lower wages : Some industries are dominated by women because women are more productive than men in those industries. For example, mushroom pickers tend to be women because their smaller hands don’t bruise the mushrooms. Often men are able to compete with women in ..
Calculate the conversion price : During the past 2 years Meacham Industries issued three separate convertible bonds. For each of them, calculate the conversion price: a. A $1,000-par-value bond that is convertible into 10 shares of common stock. b. A $2,000-par- alue bond that is co..
Effective way to reduce auditing costs when assessing : Gemayel et al. (2011) demonstrated that RSS can be an effective way to reduce auditing costs when assessing the true value of an account is time consuming (and, consequently, expensive) by allowing for smaller sample sizes than would be necessary ..
Why you chose the three points of view : Explain why you chose the three points of view that you did for each world.
Suppose the demand for labor market is given by labor : Suppose the demand for labor market is given by Labor = 408−2wage and the market supply is given by Labor = 10wage. Suppose a minimum wage is placed on wages that sets the wage at $50. Find the quantity demanded and supplied, and the amount of unempl..
What do you think about creighton claim : Tom Creighton hired Destroy, Inc., a demolition company, to level an old building on a busy downtown lot. Destroy, Inc. was given full rein to decide on the amount of explosives needed and the placement of the charges. What do you think about Crei..
What occupation would be better if interest rate was zero : You’re 20 years old, and you’re trying to decide which career path to take based on the future expected streams of income. Occupation A has you earning $15,000 for 5 years, then $25,000 for then next 30 years. What occupation would be better if the i..
What is the present value of the lease outflows : N and M Corp. is considering leasing a new machine for $25,000 per year. The lease arrangement calls for a 5-year lease with an option to purchase the machine at the end of the lease for $3,500. The firm is in the 34% tax bracket. What is the present..
Why might this situation occur : An article indicated that when new GAAP rules were issued related to pensions it caused an increase in the liability for pensions for approximately 20% of companies. Why might this situation occur?

Reviews

Write a Review

Business Economics Questions & Answers

  Paying the compounded interest rate

Suppose my grand grandmother in 1909 put $100 in the bank account for me. The bank has been paying the compounded (annual compounding) interest rate of 5% per year. If I go and pick up this money now (that is in 2009) how much money will I get?

  Report explaining the consequences of market structure

You have just been hired by a company as an economist and strategic planner. Your company has asked you to generate a report explaining the consequences of the market structure in which the company operates. Assume that the market structure is an oli..

  The growth of wage labor

Assess the validity of the following assertion: "The growth of wage labor in the Northeast between 1810 and 1850 was a direct consequence of the expansion of slavery in the South."

  How has the internet changed entertainment marketing

How do sports marketers enhance the perceived value of their commodities? Cite at least two examples. How has the Internet changed entertainment marketing? Is this a positive or negative change?

  Compute the p-value for the coefficient on population

We are interested in checking if larger cities have higher rates of influenza than we would expect just from them being larger (Does a 1% increase in population result in a more than 1% increase in Influenza). Compute the t-statistic and determine if..

  Two alternatives for traffic light in an excluded area

Volusia County has two alternatives for traffic light in an excluded area. Alternative A is to install an electrical powered traffic light, while alternative B is to install solar powered traffic light. The initial cost, the annual operation costs ar..

  What kind of market would describe the museum

The residents of the town Marina Del Rey all love economics, and the mayor proposes building an economics museum. The museum has a fixed cost of $ 2,400,000 and no variable costs. Graph the museum’s average total cost curve and its marginal cost curv..

  Demand increases-bars and restaurants face

Recall the Application. During "happy hour," many bars and restaurants face an increase in demand for food and drink, and these establishments often cut prices during these times of increased demand. When this demand increases, the bars and restauran..

  Auditorium to rent for an all-day conference

Your student association is looking for an auditorium to rent for an all-day conference. The university's Performing Arts Center is vacant on that day, so the association wants to rent it. If you rent the Center, what will be the university's margina..

  During an election campaign

During an election campaign, the incumbent argues that he should be reelected because GDP grew by 12% during his term in office. You know that population grew by 4% over the period, and that the GDP deflator increased from 100 to 108 during the past ..

  Devise an argument for who should have the flute

An artist makes a beautiful instrument that becomes famous throughout the country. A number of claimants arise, each of whom argues that they deserve the flute: the artist who created it, the most talented musician, the poorest musician, the neediest..

  Company has minimum rate of return standard

If the company has minimum rate of return standard as 10%, which of the following projects would you recommend to the company? A) Investment in year 0, $40,000, returns $10,000 in year 1, $11,000 in year 2, 12,000 in year 3, and $13,000 in year 4. Op..

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd