Homework Answers
Total wage = Individual wage x Number of workers
% Change in Total wage = % Change in Individual wage + % Change in Number of workers
2% = 10% + % Change in Number of workers
% Change in Number of workers = 2% - 10% = - 8%
Therefore, this situation is possible if number of workers in the economy decreased by 8%.
Add Answer to:
onsider an economy where, every year, every worker's earnings rise 10% and yet total wages paid...
(20) 5. A study was done to see how some of the characteristics of a worker's...
(20) 5. A study was done to see how some of the characteristics of a worker's employer (like the size of the employer, or how long it has been in business) affect the wages of that worker. The data for the study came from a survey of workers that asked about the worker's personal characteristics, but also got the name and address of the worker's employer so that employer characteristics could be measured as well. The sample size was 1067....
1a) Consider an economy where output is produced using just labor as input. Output is sold...
1a) Consider an economy where output is produced using just labor as input. Output is sold at $10 per unit and the marginal product of labor for each worker hired is expressed as MPL=10-2L. If each worker is paid $40, what would be the total profit of the profit-maximizing entrepreneur? a. $40 b. $60 c. $0 1b) Consider an economy where output is produced using just labor as input. Output is sold at $10 per unit and the marginal product...
1.Workers are compensated by firms with "benefits" in addition to wages and salaries. The most prominent...
1.Workers are compensated by firms with "benefits" in addition to wages and salaries. The most prominent benefit offered by many firms is health insurance. Suppose that in 2000, workers at one steel plant were paid $20 per hour and in addition received health benefits at the rate of $4 per hour. Also suppose that by 2010 workers at that plant were paid $21 per hour but received $9 in health insurance benefits. a. By what percentage did total compensation (wages...
3. Structural Transformation [10 points] Consider the economy of Lewisville, which is just beginning to industrialize....
3. Structural Transformation [10 points] Consider the economy of Lewisville, which is just beginning to industrialize. The economy was entirely reliant on corn production until now. There are 100 identical families each farming their own land. Each family has 6 members who participate equally in farm work and share the output. Each farm has a small land area and can employ up to 3 full time workers, each of whom produce 1 unit of corn each. Beyond 3 workers, additional...
BE1-10 Go Ahead Limited began the year with common shares of $100,000 and retained earnings of...
BE1-10 Go Ahead Limited began the year with common shares of $100,000 and retained earnings of $350,000. During the year, it issued an additional $25,000 of common shares, reported a profit of $75,000, and paid dividends of $5,000. (a) Calculate the ending balances of (1) common shares, (2) retained earnings, and (3) total shareholders' equity. (b) Explain how your answer would change if the company had reported a loss of $75,000 rather than a profit.
Consider an imaginary 10-year period over which output per person falls, but GDP increases. How can...
Consider an imaginary 10-year period over which output per person falls, but GDP increases. How can this happen? This is possible if O A. the rate of technical progress is small. B. the rate of unemployment is constant OC. the number of people in the corresponding population is stable D. the rate of increase in the other factors of production is high Do you think this is likely to be good for the economy? Such a long-term decline in output...
An economy produces with the production technology Y = F(K, EL) = K^1/3 (EL)^2/3, where E...
An economy produces with the production technology Y = F(K, EL) = K^1/3 (EL)^2/3, where E is a labor-augmenting technology. Population grows at 2% per year and E grows at 3% per year. The depreciation rate is 5% and the saving rate is 40%. The economy is in steady state. a. What is the growth rate of each of the following: K/EL, Y/EL, EL, Y, Y/L, K/Y, C b. At what rate do wages and the capital rental rate grow?...
4. An economy consists of three workers: Larry, Moe, and Curly. Each works 10 hours a...
4. An economy consists of three workers: Larry, Moe, and Curly. Each works 10 hours a day and can pro- duce two services: mowing lawns and washing cars. In an hour, Larry can either mow one lawn or wash one car; Moe can either mow one lawn or wash two cars; and Curly can either mow two lawns or wash one car. a. Calculate how much of each service is produced under the following circumstances, which we label A, B,...
nformation P Flag question Consider a simple exchange economy where there are two producers, one producing...
nformation P Flag question Consider a simple exchange economy where there are two producers, one producing Good X and the other Y. There are in total 100 units of K and 800 units of L in the economy. The production function of X Is X (KxLx)=10 K40.42X0.6 and that of Y is Y(Ky, Ly)= 4Ky + Ly Currently, the X production is using 60 units of K and 60 units of L. Follow the steps below to check if the...
Structural unemployment is caused by changing patterns of labor demand. real wages being inflexible downward. high...
Structural unemployment is caused by changing patterns of labor demand. real wages being inflexible downward. high costs of occupational and/or geographic adjustment. All of these 2.5 points QUESTION 13 Suppose an employment contract includes a no-quit clause. How does the answer to the question “Who pays for general training?” depend on the no-quit clause? Workers pay for their general training with or without the no-quit clause With the no-quit clause, the firm can pay for general training With the...
(20) 5. A study was done to see how some of the characteristics of a worker's employer (like the size of the employer, or how long it has been in business) affect the wages of that worker. The data for the study came from a survey of workers that asked about the worker's personal characteristics, but also got the name and address of the worker's employer so that employer characteristics could be measured as well. The sample size was 1067....
BE1-10 Go Ahead Limited began the year with common shares of $100,000 and retained earnings of $350,000. During the year, it issued an additional $25,000 of common shares, reported a profit of $75,000, and paid dividends of $5,000. (a) Calculate the ending balances of (1) common shares, (2) retained earnings, and (3) total shareholders' equity. (b) Explain how your answer would change if the company had reported a loss of $75,000 rather than a profit.
Consider an imaginary 10-year period over which output per person falls, but GDP increases. How can this happen? This is possible if O A. the rate of technical progress is small. B. the rate of unemployment is constant OC. the number of people in the corresponding population is stable D. the rate of increase in the other factors of production is high Do you think this is likely to be good for the economy? Such a long-term decline in output...
4. An economy consists of three workers: Larry, Moe, and Curly. Each works 10 hours a day and can pro- duce two services: mowing lawns and washing cars. In an hour, Larry can either mow one lawn or wash one car; Moe can either mow one lawn or wash two cars; and Curly can either mow two lawns or wash one car. a. Calculate how much of each service is produced under the following circumstances, which we label A, B,...
nformation P Flag question Consider a simple exchange economy where there are two producers, one producing Good X and the other Y. There are in total 100 units of K and 800 units of L in the economy. The production function of X Is X (KxLx)=10 K40.42X0.6 and that of Y is Y(Ky, Ly)= 4Ky + Ly Currently, the X production is using 60 units of K and 60 units of L. Follow the steps below to check if the...
Most questions answered within 3 hours.
-
convert grams into vloume with the density of water being at
.997514 g/cm^3 at 23.1 Celsuis...
asked 58 minutes ago -
Foreman company obtained a $20,000, 6% loan on May 1, 2018.
Principal and interest will be...
asked 1 hour ago -
5. Problem 11.05 (Discounted Payback)
eBook
Project L costs $60,000, its expected cash inflows are $14,000
per...
asked 1 hour ago -
1. Which of the following is true about politics and health
organizations?
A. Health organizations are...
asked 1 hour ago -
A space vehicle is coasting at a constant velocity of 18.1 m/s
in the +y direction...
asked 2 hours ago -
5) Use the following balanced equation to answer questions
(a)-(i).
3 Cu(s) + 8 HNO3(aq) →...
asked 2 hours ago -
A three-year maturity bond with a 12% annual coupon rate is
currently traded at par $1000...
asked 2 hours ago -
1.
What is the minimum volume to use in the Spec 20 cuvette in order
to...
asked 3 hours ago -
A builder wants to install wall-to-wall carpeting in a living
room of length 8.87 m and...
asked 3 hours ago -
Organizational change can produce anxiety in those affected by
the change. In what ways can change...
asked 3 hours ago -
Ozone in the atmosphere may react with nitric oxide.
From the following data, calculate the DG...
asked 3 hours ago -
Steven Long, a bond analyst, is analyzing a convertible bond.
The characteristics of the bond are...
asked 3 hours ago