Who will specialize in the household sector

Reference no: EM132181711

Question: Suppose that Jack's wage rate is $20 and that his marginal product of time in the household sector is $10 per hour. Suppose that Jill's wage rate is $30 and that her marginal product of time in the household sector is $15 per hour. Who will specialize in the household sector and who will specialize in the market sector in this household. Why?

Reference no: EM132181711

Questions Cloud

What happens to bring the ad-as system back : What happens to bring the AD-AS system back into equilibrium when prices are below the equilibrium level?

What would be the impact of the proposed tax : Under current law, most Social Security recipients do not have to pay federal or state income taxes on their Social Security benefits.

Why you chose the profile to represent the character : Choose a character from your book to profile. This means that you will "study" or "analyze" the character's traits.

Increase in the demand for many canadian exports : The beginning of a strong recovery in the United States in 2014 led to a large increase in the demand for many Canadian exports.

Who will specialize in the household sector : Suppose that Jack's wage rate is $20 and that his marginal product of time in the household sector is $10 per hour. Suppose that Jill's wage rate is $30.

What effect will announcement have on person retirement age : A worker plans to retire at the age of 65 when he will start collecting his retirement benefits. There is a sudden change in inflation forecasting.

Neoclassical growth model with diminishing marginal returns : In the Neoclassical growth model with diminishing marginal returns, increase in population lead to increases in GDP and improvement

Specialize in orange production : The table shows the number of acres it takes to produce 1 container of lemos and oranges for 2 countries.

How would an increase in a sales tax affect gdp : How would an increase in a sales tax affect GDP? Is domestic investment the same as investment done in any other country?

User Account

All Pages