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Discussion Question
Sometimes students in previous classes responding to this case study have mentioned things like company parties, flex time, special recognition for achievements, or other benefits. Suppose a company funds a party for 100 employees that costs $4,000. How do we know that the party is incentivizing employee productivity more than simply giving each employee a check for $40?
One of the things that economists have pointed out is that the marginal product of labor tends to increase as the quantity and quality of capital (tools) increases. As there is more capital to work with, workers can be more productive. Think about the marginal productivity of a worker with a shovel as opposed to that same worker with a backhoe. So one thing that employers could do to increase the marginal product of workers is to provide more capital.
The manufacturer of high-quality flatbed scanners is trying to decide what price to set for its product. The costs of production and the demand for the product are assumed to be as follows:
Select a news story from a Internet news organization.
newspaper vending machines are designed so that once you have paid for one paper you have access to all the papers in
Terry wants to sell his car and the lowest price he is willing to accept is $3,000. Alice likes the car and is willing to pay at most $4,000 for it. They begin to negotiate to arrive at a price. Which of the following statements will be true?
FlyAway Airlines has regular flights between San Diego and San Francisco. It can treat business and pleasure travelers as separate markets by demanding advance purchase and Saturday night stay-over for pleasure travelers.
Suppose the supply of capital is inelastic and given by Ks = 27. Plot thecapital supply line on the same graph as the capital demand curve. Findthe real rental rate of capital that clears the market and show it on thegraph.5. How many goods will t..
Suppose that the market for frying pans is a competitive market. The following graph shows the daily cost curves of a firm operating in this market.
Explain the circumstances in which a monopolist may encounter a free rider problem and determine the senses in which a perfectly-discriminating monopolist is efficient or inefficient.
if the demand schedule for bongs book is q 2000-100p the cost of having the book typeset is 9000 and the marginal cost
Who will be willing to pay the higher price, all else constant? What happens to the quantity of drivers available during surge pricing, all else constant? What happens to the quantity demanded during surge pricing all else constant?
What is the joint significance of the country indicator variable and the level of development in explaining variation in the level of energy intensity.
1. the greatest portion of the budget of state and local governments is spent ona schools.b entitlements such as
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