What is your own reservation wage

Reference no: EM13901421

Reservation wages

In the mid-1980s, a famous supermodel once said that she would not get out of bed for less than $10,000 (presumably per day).

a. What is your own reservation wage?

b. Did your first job pay more than your reservation wage at the time?

c. Relative to your reservation wage at the time you accept each job, which job pays more: your first one or the one you expect to have in 10 years?

d. Explain your answers to parts (a) through (c) in terms of the efficiency wage theory.

e. Part of the policy response to the crisis was to extend the length of time workers could receive unemployment benefits. How would this affect reservation wages if this change was made permanent?

Reference no: EM13901421

Questions Cloud

Compute the present value of the receivable on boeings books : Compute the present value of the receivable on Boeing's books on January 1, 2009, immediately after receiving the $10 million down payment.

Marketing report-methodology-findings and conclusions : Assume you are planning to open an ice cream shop on campus. There are currently no ice cream shops within three miles of your campus. You are deciding between leasing spaces in the student center or opening a stand-alone shop on the outskirts of cam..

Effects of attention on out-of-seat classroom behavior : What are the effects of attention on out-of-seat classroom behavior? What is the relationship between the quality of a marriage and the quality of the spouses' relationships with their siblings

Question regarding the environmental cost and benefit : By increasing the taxes on gasoline, it has been proposed to raise the cost of gasoline in the US to $8.00/gallon, a price similar to that charged in the rest of the world. What will be the environmental cost and benefit?

What is your own reservation wage : Relative to your reservation wage at the time you accept each job, which job pays more: your first one or the one you expect to have in 10 years?

Discuss the history of psychology listing influential person : Discuss the history of psychology listing influential persons who have contributed to the discipline of psychology.

What is the natural rate of unemployment : Suppose that the markup of prices over costs increases to 10%. What happens to the natural rate of unemployment? Explain the logic behind your answer.

Create a script document and a powerpoint presentation : You will produce a creative video presentation using PowerPoint and Screenr or Screencast-O-Matic to demonstrate your knowledge about learning theory and how it applies to your own learning processes.

What is the average duration of unemployment : As a percentage of the unemployed, what is the size of the total flows out of unemployment each month? What is the average duration of unemployment?

User Account

All Pages