In-Home and Foreign, there are two factors each of production, land, and labor used to produce only one good. The land supply in each country and the technology of production are the same. The marginal product of labor in each country depends on employment as follows: * attached photo Initially, there are 11 workers employed in Home, but only 3 workers in Foreign. Find the effect of free movement of labor from Home to Foreign on employment, production, real wages, and the income of landowners in each country.

Economics (MindTap Course List)
13th Edition
ISBN:9781337617383
Author:Roger A. Arnold
Publisher:Roger A. Arnold
Chapter28: The Distribution Of Income And Poverty
Section28.2: Measuring Income Equality
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In-Home and Foreign, there are two factors each of production, land, and labor used to produce only one good. The land supply in each country and the technology of production are the same. The marginal product of labor in each country depends on employment as follows:

* attached photo

Initially, there are 11 workers employed in Home, but only 3 workers in Foreign. Find the effect of free movement of labor from Home to Foreign on employment, production, real wages, and the income of landowners in each country.

Number of Workers
Marginal Product
of Last Worker
Employed
1
20
2
19
3
18
4
17
5
16
6
15
7
14
8
13
9.
12
10
11
11
10
Transcribed Image Text:Number of Workers Marginal Product of Last Worker Employed 1 20 2 19 3 18 4 17 5 16 6 15 7 14 8 13 9. 12 10 11 11 10
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