What happens to per unit labor cost

Assignment Help Macroeconomics
Reference no: EM132506507

If a company hires more workers and labor cost rise 5%, but productivity of these new workers is very high and the quantity of output rises 15%, what happens to per unit labor cost? Under these conditions, would the firm experience cost pressure that would result in higher prices?

Reference no: EM132506507

Questions Cloud

Grow faster than countries with higher income : The catch-up effect signifies that countries with low income can grow faster than countries with higher income. However, in statistical studies
How the economy responds to inflation : Use supply side theory to explain how the economy responds to inflation. What is the signal and incentive that is responsible for the adjustment to inflation?
Discuss characteristic findings for a stroke : Discuss characteristic findings for a stroke and how it affects the lives of patients and their families. Discuss the nurse's role in supporting the patient's.
Will forms experience const pressure that force them : What would happen to per unit labor cost if the economy continues to grow? Will forms experience const pressure that force them to raise prices?
What happens to per unit labor cost : If a company hires more workers and labor cost rise 5%, but productivity of these new workers is very high and the quantity of output rises 15%,
What happens to per unit labor cost : If labor cost rise, and quantity remains the unchanged, what happens to per unit labor cost (does the ration rise or fall)?
Discuss family history of breast cancer : Explain any difference between what you expected to achieve with each of the decisions and the results of the decision in the exercise.
Discuss the role of the np when caring for patients : Discuss the role of the NP when caring for patients with chronic illness. At least two high-level scholarly reference in APA from within the last 5 years.
Why the multiplier becomes larger if the marginal propensity : Explain fully and clearly why the multiplier becomes larger if the marginal propensity to consume increases?

Reviews

Write a Review

Macroeconomics Questions & Answers

  Goals of the federal reserve board

Economists have been grappling with a debate regarding the extent to which stabilizing asset prices should be a goal of monetary policy. The three goals of the Federal Reserve Board are to have economic growth, full employment, and price stabilit..

  Assess facets of economic theory

Given that the economy raise by the banking system and creation of money through lending, if one market is down are we to suppose that these other firms that are facing increased demand will borrow enough to counter balance the amount

  How to use linear regression to predict the price

The average price/gallon of gass in July over the past 4 years was $2.74, $3.65, $3.45, and $3.63. Use linear regression to predict the price of gas the following year? How would I set up this problem? Do I use years as my x variable?

  Accelerate the recognition of income

If Luis makes an election to accelerate the recognition of income but he leaves the company after three years, is he eligible for a refund of taxes paid?

  Fiscal policy in the current economic situation

Please detail the possibilities of using fiscal policy to stimulate economic activity in Denmark in a situation of economic stagnation among the most important trading partners.

  Event article relates to government regulations

Maker an article or current event article which relates to government regulations or antitrust activities.

  Elasticity of us exports with respect to the real exchange

If the elasticity of US exports with respect to the real exchange rate is very low, will this increase in private saving have a large or small effect on the U.S. real exchange rate

  Identify the fundamental lessons the ten principles

Use Principles of Microeconomics, Chs. 1, 2, 3, 4, 5, and 6, as the source for all your information. Identify the fundamental lessons the Ten Principles of Economics teach about:

  Competing with international companies

What output strategies might US companies implement to remain profitable when competing with international companies? How do market demands, costs, pricing, and competition impact these output strategies?

  Calculate the total revenue at the profit maximizing level

The total costs of a firm under perfect competition is given by the equation TC = 5,000 + 4Q + 2Q^2 and the market price is $100 per unit.

  How public policy is formed in american system of government

Identify all of the Executive Branch departments, agencies, etc., that have a role regarding the nation's nuclear weapons and what each of their roles is.

  The elasticity of demand for movie tickets

An economist who is studying the relationship between the money supply, interest rates, and the rate of inflation is engaged - The distinction between supply and the quantity supplied is best made by saying that

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