1. factor markets? take an example 2. changes of labor supply and labor demand? take an example 3.Optimal choice of factors in perfectly competitive factor markets? take an example
Q: Suppose Fred produces 500 litres of milk every day with 10 workers. The price of milk is $12 per…
A: Given information: Daily production of milk = 500 litres Number of workers = 10 Price of milk = $12…
Q: Benny employs people to sell candy bars at intersections. Assume that Benny can obtain candy bars to…
A: MRP refers to change in total revenue when a variable unit is added to the production. The marginal…
Q: Stone Inc. owns a clothing factory and hires workers in a competitive labor market to stitch cut…
A: “Since you have posted multiple questions, we will provide the solution only to the first question…
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A: The labor market is the marketplace where individuals, known as job seekers or labor force, offer…
Q: The information below is for a competitive labor market. A. Calculate the value of the marginal…
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Q: When a firm is a perfect competitor in the product market, its demand curve for labor will _____…
A: The demand and provide of labor are determined within the marketplace. The participants within the…
Q: For each of the following determine the impact on the demand or the supply of labor and the effect…
A: Since you have posted a question with multiple sub parts, we will solve first three subparts for…
Q: 1. ABC firms is selling potatoes in a perfectly competitive product market and hires farmers in a…
A: Hi Student, thanks for posting the question. As per the guideline we are providing answers for the…
Q: The concept of production possibility frontier explains that a. any point within the curve is a…
A: Production possibilities frontier or the PPF is a graphical representation of the combination of…
Q: You are given a scenario where this a change in a factor of production or a change in demand for an…
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Q: You are given a scenario where this a change in a factor of production or a change in demand for an…
A: Change in the price of factor of production will effect cost of production. In case I make…
Q: You are given a scenario where this a change in a factor of production or a change in demand for an…
A: Answer: Scenario: The coronavirus pandemic forces people to shelter in place. You are an airplane…
Q: What happens to the supply curve when the price of the factor of production would rise?
A: A rise in the price of factors of production, is a part of other factors other than the price change…
Q: The figure to the right illustrates the demand curve (D) and the supply curve (s) for a labor…
A: The given figure shows that the equilibrium point is at 'e1' where demand for labor i.e. 'DL' demand…
Q: How do you legally reduce labor surplus? Give an example for each.
A: Labour surplus Karl Marx employed the concept of surplus labour in his critique of economics and…
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A: The objective of the question is to understand the impact on the optimal quantity of labor a firm…
Q: Quantity of Labor Number of Baseballs Per Day 1 100 2 240 360 4 440 500 Refer to Table. This table…
A: Given Price of baseball = $5. Wage rate = $320 per day. Quantity of labor Number of Baseball's…
Q: This figure below shows the labor market for automobile workers. The curve labeled S is the labor…
A: The optimal level of wages at which a certain number of laborers will be employed is analyzed in the…
Q: Which of the following can reduce the marginal revenue product of labor? Select one: a. A…
A: The Marginal revenue product of labor (MRPL) can be defined as the change in revenue that results…
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Q: Which of the following will result in a leftward shift of the market demand curve for labor (ceteris…
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Q: What happens to the supply curve for labor (shifts to the right/left or stays the same) in the…
A: Since you have posted a question with multiple sub parts, we will solve first three subparts for…
Q: Billy is hiring workers to help him install solar panels. The table below presents the marginal…
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Q: Amanda owns a small bakery in the perfectly competitive pastry industry. She is considering whether…
A: A market form characterized by a large number of buyers and sellers, homogenous products, perfect…
1. factor markets? take an example
2. changes of labor
3.Optimal choice of factors in
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- You are given a scenario where this a change in a factor of production or a change in demand for an item. You need to explain how this would change demand for labor. 1. The coronavirus pandemic forces people to shelter in place. You are an airplane mechanic looking for work in Louisville where UPS is headquartered.The concept of production possibility frontier explains that a. any point within the curve is a combination of labor and capital input that fall short of putting all inputs to good use b. that capital is more that labor inputs c. any point within the curve is a combination of labor and capital input that is utilized d. that labor is more that capital inputs The concept of production possibility frontier explains that a. labor and capital combination is not enough to produce an output that have very minimal wastage b. level of output is optimal c. labor and capital combination is not enough to produce an output d. level of inputs is optimal more than zero but less than one in the concept of Income Elasticity means a. luxury goods b. substitute goods c. inferior good d. necessity goodsBilly is hiring workers to help him install solar panels. The table below presents the marginal product (in terms of solar panels installed per week) of various workers. Assume this is a perfectly competitive market. a. What is the marginal revenue product of each worker if the current market price to install one solar panel is $50? What if the current market price is $100? $150? Using the table below, fill in the “Marginal Revenue Product” columns for each price. Labor Productivity and Marginal Revenue Product for Solar Panel Installers Labor (workers) Marginal Product (solar panels) Marginal Revenue Product for P = $50 (dollars) Marginal Revenue Product for P = $100 (dollars) Marginal Revenue Product for P = $150 (dollars) 1 14 $ $ $ 2 12 3 10 4 8 5 6 6 4 7 2 b. Graph the three marginal revenue product curves (for prices of $50, $100, and $150) based on your answers to part a. Instructions: Use the tools provided "MRP (P…
- Benny employs people to sell candy bars at intersections. Assume that Benny can obtain candy bars to sell for no cost. The marginal product of the last worker Benny hired is 20 candy bars per hour. Benny pays $7 per worker per hour and sells the candy bars for $1 each. If the price of candy bars rises to $2. then the: demand for labor increases. demand for labor decreases. quantity demanded of labor increases, but the demand for labor curve does not shift. quantity demanded of labor decreases, but the demand for labor curve does not shift.Q. 1 Analyze and graph the Product Effect and the Substitution Effect in labor demand in the face of an increase in labor price.When a firm is a perfect competitor in the product market, its demand curve for labor will _____ because the _____ product declines as additional workers are hired. Select one: a. slope downward; average b. be horizontal; average c. slope upward; marginal d. slope downward; marginal
- 1. ABC firms is selling potatoes in a perfectly competitive product market and hires farmers in a perfectly competitive market. Assume that the market wage rate for farmers is $150 per day. a. What rule should ABC follow to hire the profit-maximizing amount of labor? b. At the profit-maximizing level of output, the marginal product of last worker hired is 30 pounds of potatoes per day. Calculate the price of a pound of potatoes. c. Draw a diagram of the labor market for potatoes next to a diagram of the labor supply and demand for ABC. Label the equilibrium wage and quantity of labor for both the market and the firm. How are these diagrams related? d. Suppose some farmers switch to jobs in the service industry. On the side-by-side diagrams from part (c ), show how this change affects the equilibrium wage and quantity of labor for both the potatoes market and for ABC. How does this change affect theThis figure below shows the labor market for automobile workers. The curve labeled S is the labor supply curve, and the curves labeled D1 and D2 are the labor demand curves. On the horizontal axis, L represents the quantity of labor in the market. S Refer to Figure above. What is measured along the vertical axis on the graph? Select one: a. time spent by workers producing automobiles b. the price of automobiles c. the wage paid to automobile workers d. the quantity of automobiles producedConsider the market for labor depicted by the demand and supply curves that follow. Use the calculator to help you answer the following questions. You will not be graded on any changes you make to the calculator. Graph Input Tool Market for Labor 24 I Wage (Dollars per hour) 21 Supply 3.00 Labor Supplied (Thousands of workers) 18 Labor Demanded (Thousands of workers) 1,050 150 15 12 Demand 3 150 300 450 600 750 900 1050 1200 LABOR (Thousands of workers) Complete the following table with the quantity of labor supplied and demanded if the wage is set at $15.00. Then indicate whether this wage will result in a shortage or a surplus. Hint: Be sure to pay attention to the units used on the graph and in the table. For example, type in 100 for 100,000 workers. Labor Demanded Labor Supplied Wage (Thousands of workers) (Thousands of workers) Shortage or Surplus? $15.00 Suppose a senator considers introducing a bill to legislate a minimum hourly wage of $15.00. Which of the following statements…
- Quantity of Labor Number of Baseballs Per Day 1 100 2 240 360 4 440 500 Refer to Table. This table describes the number of baseballs a manufacturer can produce per day with different quantities of labor. Each baseball sells for $5 in a competitive market and the firm pays each unit of labor a wage equal to $320 per day. How many units of labor should the firm hire to maximize profit? Select one: a.4 units b.5 units c.3 units d.2 unitsSuppose Fred produces 500 litres of milk every day with 10 workers. The price of milk is $12 per litre, and each worker is paid $550 daily. If the marginal product of the last worker employed is 40 litres of milk, explain whether Fred is maximizing his profit. If not, can Fred increase his profit by employing more or fewer workers? If Fred buys more dairy cattles, how will it affect his demand for labor? Explain with a diagram.The information below is for a competitive labor market. A. Calculate the value of the marginal product of labor at X. B. Find the equilibrium wage. C. Find the equilibrium quantity of labor employed.
