The following graph shows the labour market in the fast-food industry in the fictional town of Supersize City.Use the graph input tool to help you answer the following questions. You will not be scored on any changes you make to this graph.Note: Once you enter a value in a white field, the graph and any corresponding amounts in each grey field will change accordingly.Graph Input ToolMarket for Labour in the Fast-Food Industry20I Wage(Dollars per hour)186Supply16Labour Demanded(Thousands ofworkers)Labour Supplied(Thousands ofworkers)70021014Demand70 140 210 280 350 420 490 560 630 700LABOUR (Thousands of workers)workers.In this market, the equilibrium hourly wage is $, and the equilibrium quantity of labour isWAGE (Dollars per hour) In this market, the equilibrium hourly wage is $and the equilibrium quantity of labour isworkers.Suppose a member of Parliament introduces a bill to legislate a minimum hourly wage of $6. This type of price control is called aFor each of the wages listed in the following table, determine the quantity of labour demanded, the quantity of labour supplied, and the direction ofpressure exerted on wages in the absence of any price controls.WageLabour DemandedLabour Supplied(Dollars per hour)(Thousands of workers)(Thousands of workers)Pressure on Wages812True or False: A minimum wage above $10 per hour is a binding minimum wage in this market. (Economists call a minimum wage that prevents thelabour market from reaching equilibrium a binding minimum wage.)O TrueO False

Two type of business cycles are inflation and recession. In inflation, economic activity as well as…

The following graph shows the labour market in the fast-food industry in the fictional town of Supersize City. Use the graph input tool to help you answer the following questions. You will not be scored on any changes you make to this graph. Note: Once you enter a value in a white field, the graph and any corresponding amounts in each grey field will change accordingly. Graph Input Tool Market for Labour in the Fast-Food Industry 20 I Wage (Dollars per hour) 18 6 Supply 16 Labour Demanded (Thousands of workers) Labour Supplied (Thousands of workers) 700 210 14 Demand 70 140 210 280 350 420 490 560 630 700 LABOUR (Thousands of workers) workers. In this market, the equilibrium hourly wage is $ , and the equilibrium quantity of labour is WAGE (Dollars per hour)

The following graph shows the labour market in the fast-food industry in the fictional town of Supersize City. Use the graph input tool to help you answer the following questions. You will not be scored on any changes you make to this graph. Note: Once you enter a value in a white field, the graph and any corresponding amounts in each grey field will change accordingly. Graph Input Tool Market for Labour in the Fast-Food Industry 20 I Wage (Dollars per hour) 18 6 Supply 16 Labour Demanded (Thousands of workers) Labour Supplied (Thousands of workers) 700 210 14 Demand 70 140 210 280 350 420 490 560 630 700 LABOUR (Thousands of workers) workers. In this market, the equilibrium hourly wage is $ , and the equilibrium quantity of labour is WAGE (Dollars per hour)

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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A company operates in a competitive market, selling each unit of output for a price of $20 and paying the market wage of $270 per day for each worker it hires. In the following table, complete the column for the value of the marginal product of labor (VMPL) at each quantity of workers. Labor Output Marginal Product of Labor Value of the Marginal Product of Labor (Number of workers) (Units of output) (Units of output) (Dollars) 20 1 20 19 39 18 57 15 4 72 12 84
Suppose that the price of labor (the wage rate) is $100 a day and that the rental price of capital is $50 a day. Currently the Jedie Weapons Corporation is using ten units of capital and five units of labor to produce 500 lightsabers a day. Each lightsaber sells for $2. At the current input use levels, the marginal product of capital is 40 lightsabers per day and the marginal product of labor is 60 lightsabers a day. Is the firm making an economic profit at its current levels of operation? 2. Could the firm increase its profits at the current level of output by adjusting its use of labor and capital? If so, how should input use be adjusted?
The following graph shows the labor market for research assistants in the fictional country of Academia. The equilibrium wage is $10 per hour, and the equilibrium number of research assistants is 250. Suppose the government has decided to institute a $2-per-hour payroll tax on research assistants and is trying to determine whether the tax should be levied on the employer, the workers, or both (such that half the tax is collected from each side). Use the graph input tool to evaluate these three proposals. Entering a number into the Tax Levied on Employers field (initially set at zero dollars per hour) shifts the demand curve down by the amount you enter, and entering a number into the Tax Levied on Workers field (initially set at zero dollars per hour) shifts the supply curve up by the amount you enter. To determine the before-tax wage for each tax proposal, adjust the amount in the Wage field until the quantity of labor supplied equals the quantity of labor demanded. You will not be…
Quantities Produced 225 220 215 210 205 200 195 190 185 180 175 170 165 160 155 150 145 140 135 130 125 120 115 110 105 100 95 90 85 80 75 70 65 60 55 50 45 40 35 30 0 1 2 3 Number of Workers units of output. productivity. The graph above shows the relationship between the daily quantities of a good produced by a small firm and the number of workers hired, given all the other resources available to the firm. For example, one worker can produce 30 units and two workers can produce 55 units. Such a relationship between a production factor (here labor) and the amount of output produced is called a production function. Currently the nominal wage rate is W = $200 per worker per day and the price of the product is P = $10 per unit. Of the amount of increase in production noted above, 4 Now suppose that the firm installs some new machines and offers the workers some rigorous training and as a result the productivity of the workers increases. In particular, the marginal product of each worker…
question 1 microeconmics
Graph the demand for labor as a function of the wage using this data. What happens to the number of workers when wage goes up? How many workers will be hired and how many cookies made at a wage of 40.50? Please give me the equations so I can understand how to create this graph.
Q#1. Last year, M.Hamed left a job that pays 36,000 OMR to run his own bike-repair shop. M. Hamed’s shop charges 5 OMR for a repair, and last year the shop performed 7,000 repairs. M. Hamed’s production costs for the year included rent, wages, and equipment. M. Hamed spent 6,000 OMR on rent and 18,000 OMR on wages for his employees. M. Hamed keeps whatever profit the shop earns but does not pay himself an official wage. M. Hamed borrowed 20,000 OMR for the shop’s equipment at an annual interest rate of 6 percent. a. What is M. Hamed’s accounting profit? b. What is M. Hamed’s economic profit? c. Is the decision to leave the job and run the bike business, good? Why?
The following graph shows the labor market in the fast-food industry in the fictional town of Supersize City. Use the graph input tool to help you answer the following questions. You will not be graded on any changes you make to this graph. Note: Once you enter a value in a white field, the graph and any corresponding amounts in each grey field will change accordingly. Graph Input Tool Market for Labor in the Fast Food Industry 20 I Wage (Dollars per hour) 18 6 Supply 16 Labor Demanded Labor Supplied (Thousands of workers) 900 378 (Thousands of workers) 14 Demand 2 90 180 270 380 450 540 630 720 810 900 LABOR (Thousands of workers) WAGE (Dollars per hour)
The following table shows how apple output changes as additional apple pickers are hired per day. Calculate marginal physical product, total revenue, and marginal revenue product. The price of apples is $4 per basket. Daily Apple Production Marginal Marginal Physical Revenue Number of Apple Product Total Product Pickers Output (baskets Revenue (dollars (pickers) (baskets) per picker) (dollars) per worker) 4. 2 10 3. 15 4 19 22 Refer to the Daily Apple Production table. If the price of apples increases to $10 per basket and the equilibrium wage is $40 per day, how many apple pickers will the firm hire? Refer to the Daily Apple Production table. If the price of apples increases to $10 per basket and the equilibrium wage is $40 per day, how many apple pickers will the firm hire? Multiple Choice 2 pickers 3 pickers 4 pickers 5 pickers
The following graph shows the labor market in the fast-food industry in the fictional town of Supersize City. Use the graph input tool to help you answer the following questions. You will not be graded on any changes you make to this graph. Note: Once you enter a value in a white field, the graph and any corresponding amounts in each grey field will change accordingly. WAGE (Dollars per hour) 20 18 16 14 12 2 0 0 Supply Demand 90 180 270 360 450 540 630 720 810 900 LABOR (Thousands of workers) In this market, the equilibrium hourly wage is $ Graph Input Tool Market for Labor in the Fast Food Industry Wage (Dollars per hour) Labor Demanded (Thousands of workers) 6 900 and the equilibrium quantity of labor is Labor Supplied (Thousands of workers) ? 378 thousand workers.
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Consider a company operating in a competitive market. The company sells units of output and receives a price of $20 per unit, and pays a daily market wage of $330 to each worker it employs. In the following table, complete the column for the value of the marginal product of labor (VMPL) at each quantity of workers. Labor Output Marginal Product of Labor Value of the Marginal Product of Labor (Number of workers) (Units of output) (Units of output) (Dollars) 0 0 20 1 20 19 2 39 18 3 57 15 4 72 12 5 84 On the following graph, use the blue points (circle symbol) to plot the firm's labor demand curve. Then, use the orange line (square symbols) to show the wage rate. (Note: If you cannot place the wage rate at the level you want, move the two end points individually.) Hint: Remember to plot each point halfway between the two integers. For example, when the number of workers increases from 0 to 1, the…