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Suppose the market for discrete job risk consists of multiple heterogeneous workers and multiple heterogeneous ?rms. Worker's compensated risk premia Z?- are distributed according to the miiform distribution .3.- N U [1 .6}. The productivity cost of reducing the job risk for the ?rm M'Cj is distributed according to the uniform distribution MC}:- ~ U[2,?].1 1. What is die equilibrium market compensation and the share of risky jobs in this market? 2. Suppose that the government decides to subsidize the cost of reducing job risk, decreasing the cost by s = 2 for all ?rms. 'What is the new equilibrium market compensation for the job risk and the share ofrisky jobs in the economy? Provide the intuition for this change.
This link is relevant to a broad audience, so the company contracts with an internet platform that promises to show the link to 10,000 people.
From one year to the next nominal GDP rises and the GDP deflator falls. Which of the following exclusions from GDP suggests that GDP is underestimating our material well-being? Full employment is typically associated with:
The government decides to tax cookbooks because they feel that they encourage overeating and can lead to health issues, such as obesity and heart disease. Answer the following
i. Distinguish between a budget deficit and a deficit budget.
After getting her first job, a college graduate wants to begin saving money so she can pay cash for a new car. She wants to save enough each month to have $24,000 at the end of 5 years, and her savings account pays 6% interest, compounded monthly. Ho..
When the price of zinc dropped below? $1,900, the price dropped below? Alcoa's (marginal, shutdown, competitive) price, so the company
q.suppose that the inverse demand curve for paper is p 200 - q. the private marginal cost is mcp 80 q and the
If you deposit $2000 in a bank and if the annual interest rate is 2% in year 1 and 5% in year 2 and 8% in year 3, how much money will you have in your account at the end of year 3 if you don’t withdraw any money from this account? Explain your answer..
Discuss your thoughts about blindsight and whether there is a role for the "unconscious" in behavior. Are there any positive or negative implications for it?
Demonstrate, using supply and demand analysis, the effect on the equilibrium price and quantity of new hybrid automobiles when the following occurs.
Oftentimes, businesses target their customer service departments as costs to be eliminated (to which I agree to an extent). Customer service costs, however, are tied to quality, rework, pride in product, employee turnover, and a myriad of other varia..
In a monopolistically competitive market, can firms earn economic profit in the short-run and in the long run? Explain.
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