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- A person is a gig worker and can choose whether and how much he works each day. If he does work, his hourly wage is $20 per hour. Today he decides to work 8 hours. 1. He chooses point (enter A, B or C). 2. The value for W is| (enter whole numbers without the comma). 3. The value for X is 4. He consumes hours of leisure. Enter whole numbers without decimal points or dollar signs, e.g. enter $30,000 as 30000. Income/Consumption IC TC, 24 Leisure Today (hours) SO7. Historically, technology has: A. increased and the demand for labor has decreased as output has increased. B. increased and the demand for labor has increased as output has increased. C. decreased and the demand for labor has decreased as output has decreased. D. decreased and the demand for labor has increased as output has decreasedHouseholds sell their in the market. They then use their income to buy in the market. O A. factors of production; goods; goods; factor O B. goods; factor; factors of production; goods O C. goods; goods; factors of production; factor O D. factors of production; factor; goods; goods
- Choose the correct statement. OA. The demand for capital is perfectly inelastic. OB. The supply of capital is perfectly inelastic. OC. The supply of capital is based on the value of marginal product of capital. OD. The demand for capital is based on the value of marginal product of capital. MAn economy has 95 million people employed and an unemployment rate of 5 percent. There are 1.5 million marginally attached workers and 0.5 million of the marginally attached workers are discouraged. How many people are unemployed? 3 tries left The number unemployed is O A. A. 5.5 million B. 7.5 million O c. C. 5.0 million O D. 6.5 millionQUESTION 12 Assume that there is an increase in the value of the marginal product of land. What can we expect to happen? a. The price of land will decrease b. Land manufacturing facilities will reopen c. Unemployment. Lots and lots of unemployment d. The price of land will increase
- 1. According to part A of Table 5-1, what education level loses most (i.e., has the greatest decrease in wage) from immigration to the United States? Does this result depend on keeping the rental on capital constant? Explain why or why not. 2. Suppose that computers use 2 units of capital for each worker, so that KC = 2 • LC, whereas shoes use 0.5 unit of capital for each worker, so that KS = 0.5 • LS. There are 100 workers and 100 units of capital in the economy. a. Solve for the amount of labor and capital used in each industry. Hint: The box diagram shown in Figure 5-7 means that the amount of labor and capital used in each industry must add up to the total for the economy, so that Use these two equations to solve for LC and LS, and then calculate the amount of capital used in each industry using KC = 2 • LC and KS = 0.5 • LS. b. Suppose that the number of workers increases to 125 due to immigration, keeping total capital fixed at 100. Again, solve…Question 73 of 80 If a firm finds that, at its current level of employment, VMP > W, it will A. be minimizing profits. B. be maximizing profits. C. decrease the amount of labor it hires. D. increase the amount of labor it hires. 1Dollars per Hour 6. Historical Perspective a. Analyze Visual 2: Historical Minimum Wage Data. . What trends do you observe in the minimum wage over time? • Why do you think the government has increased the minimum wage over time? FRED-Federal Minimum Wage Rate under the Federal Fair Labor Standards Act 1 1970 1975 Shaded areas indicate U.S. recessions. 1980 1985 1990 1905 2000 2005 2010 2015 O Source: U.S. Department of Labor fred.sticuisted.org
- What causes the labor supply curve sometimes to bend backward at higher wages? O It can be harder to get a high wage job. O An employee may want to work less if wages are higher. O An employer may not be willing to hire as many workers at higher wages. An employee may want to work more days at higher wages. O An employer might allow fewer breaks at higher wages.Question 23 of 30 The marginal product of a factor shows how much an additional unit of a factor adds to unit costs. dollar revenue. the level of production. O profitability. The marginal revenue product of a factor shows how much an additional unit of a factor adds to O profitability. the level of production. unit costs. dollar revenue. 46°F aSuppose that aKC = 5, capital used to produce one yard of cloth. aLC = 8, labor used to produce one yard of cloth aKF = 4. capital used to produce one calorie of food aLF = 6. labor used to produce one calorie of food. Which of the following is True? a. Cloth is labor intensive. b. Food is labor intensive. c. Both food and cloth are labor intensive. d. Both food and cloth are capital intensive.