An economy with competitive markets has 2 kinds of jobs, Routine & Skilled. There are 2 types ofworkers, Qualified & Unqualified. 60% of workers are Qualified while 40% are unqualified.In a Routine job, both types of workers produce 10 widgets. In a Skilled job, Qualified workersproduce 100 widgets each, while Unqualified workers produce O.Labor markets are competitive, so each worker is paid their marginal product, i.e. how much theyproduce, in widgets.Everyone looks great in an interview, so companies must hire without knowing the worker's typeand must pay the first period's wage without knowing their actual output. However, Qualifiedworkers can signal their qualification by receiving an education. For a Qualified worker, the cost ofgetting educated to level n is 0.5n2. For an Unqualified worker, it is n². These costs are also measuredin widgets.What is the maximum level of education that Qualified workers will obtain, in a separatingequilibrium?13.5121310

The objective of this question is to find the maximum level of education that Qualified workers will…

Answered: An economy with competitive markets has…

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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The table below shows a firm that is perfectly competitive in both the labor and product markets, showing how much daily output a firm can produce using various numbers of workers. Number of Workers 1 2 3 4 5 6 Output O $2 O $460 O $115 O $100 O $40 3 9 16 21 23 24 If output sells for $20/unit, what is the marginal revenue product of the 5th worker?
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Since 1960, the earnings gap between men and women in the U.S. labor market has O steadily risen. O been completely eliminated. O continued to narrow. O increased throughout the 1970s.
Labor Output 1 10 18 3 25 4 30 33 6. 34 7 35 If the workers are paid $18 per hour, the price of the product is $20, and the fixed cost of the business is $100 per hour, how many workers should the business employ? Group of answer choices three six four seven five LO
Fig. A 250 $ 200 Fig. C 150 100 50 0 250 200 150 0 12 100 50 0 I 0 VMP=MRP LS-MFC 10 20 MRP VMP LS=MFC 10 20 30 40 URE 30 50 40 50 L Fig. B Fig. D 250 200 150 100 50 0 250 200 150 100 50 0 $ 0 $ 45. Assuming the labor market is perfectly competitive, which of the following statements are TRUE? O(a) The VMP is the demand for labor curve for a firm that sells its product in a perfectly competitive market (b) The MRP is the demand for labor curve for a firm that has monopoly power when it sells its product. (c) Both (a) and (b) are correct O(d) None of the above 0 10 VMP=MRP MRP 10 20 VMP 20 30 40 30 40 LS 50 50 LS -MFC ||||| L MFC
In the 1970s Sweden adopted several new labour market policies affecting layoffs. Three were notable: (1) Plants that provided in-plant training instead of laying of workers in a recession received subsidies. (2) All workers had to be given at least one month's notice before being laid off, and the required time in he average plant was two to three months. (3) Laid-off workers had to be given first option on new jobs with the former employer.. What probable effects would these policies have on unemployment? government
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An economy with competitive markets has 2 kinds of jobs, Routine & Skilled. There are 2 types of workers, Qualified & Unqualified. 60% of workers are Qualified while 40% are unqualified. In a Routine job, both types of workers produce 10 widgets. In a Skilled job, Qualified workers produce 100 widgets each, while Unqualified workers produce 0. Labor markets are competitive, so each worker is paid their marginal product, i.e. how much they produce, in widgets. Everyone looks great in an interview, so companies must hire without knowing the worker's type and must pay the first period's wage without knowing their actual output. However, Qualified workers can signal their qualification by receiving an education. For a Qualified worker, the cost of getting educated to level n is 0.5n2. For an Unqualified worker, it is n?. These costs are also measured in widgets. What is the maximum level of education that Qualified workers will obtain, in a separating equilibrium? O 13.5 O 12 O 13 O 10
1. Suppose a short-run production function is described as Q40L 0.04L2 where L is the number of labors used each hour.
Suppose a fisherman owns a fish farm that has a boat and only one worker (the fisherman himself)Currentlyfish are captured and sold in the every dayEventually the to an additional worker so that he can dedicate all his time to capturing the fish, and the can sell the fish per day With the additional worker, the total of the farm is 200 The marginal returns of the second worker is The fisherman now decides to add one more workerWith the two workers capturing and the one worker , output the fish 300 dayThe marginal returns of the third worker per day

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