Estimating womens labor supply, Macroeconomics

1.    Estimating Women's Labor Supply

a.    The following regression was run for an estimate of the current women's labor supply curve:


hi = hours of labor supplied by female worker i (with mean = 32)

w = wage earned by female worker i (with mean = 13)

Vi = non-labor income by female worker i (with mean = 50)

Zi = other control variables.

The coefficients were estimated to be b = 1.05, g = -0.4, and h = 0.004. What is the elasticity of the substitution-effect?

b.    Using the values in (d), what is the elasticity of the supply curve for women?

c.    What does this elasticity mean?

d.    Is this elasticity giving an relatively elastic or inelastic supply curve?

2.    Question on Children, Fertility, and Labor Supply

a.    Graph an increase in the price of children when children are an inferior good.

101_Estimating Womens Labor Supply.png

b.    Did Malthus propose that children are normal or inferior goods?

c.    Graph an increase in the price of children when children are a normal good.

d.    Does the empirical evidence provided (from both "Wage-based" and "Income-based" measures) suggest that children are normal goods or inferior goods? Why or why not?

Posted Date: 2/23/2013 4:58:36 AM | Location : United States

Related Discussions:- Estimating womens labor supply, Assignment Help, Ask Question on Estimating womens labor supply, Get Answer, Expert's Help, Estimating womens labor supply Discussions

Write discussion on Estimating womens labor supply
Your posts are moderated
Related Questions
Assume a sudden collapse in the stock exchange of an economy is expected to reduce the future profitability of the firms of the economy. Construct loanable funds market in a c

A profit maximizing firm has a production function such that: Y=K2L2 a) If P=10,rk=2,andWL=3 , what would be its optimum be? How can you show that it is a maximum? b) How

What are the four managerial factors that lead to diseconomies of scale

Money Supply and Monetary Policy   All modern societies use money as the medium of exchange. Since money can be exchanged for goods and services it also becomes a financial asse

Problem: Describe whether, the given statements (a-f) are True, False or Uncertain. Briefly justify our answer. Questions (g) - (h) show all your calculations. No marks will be

What are three modifications to a polymer that can make it transparent? How will these modifications affect the mechanical properties of the polymer?

Axiom of completeness: Consumer's choice is complete. Implication: Since consumer is rational, she must have a unique preference relation. That means the consumer choice is ei

Illustrate the policy - Beggar my neighbour 'Beggar my neighbour' policies are government policies which attempt to gain a competitive benefit at the expense of other countries

Fiscal policy is the program of government’s with respect to the amount and composition of (i) expenditure: the purchase of commodities and services, and spending in the form of su

The employment-population ratio gives the number of people: Select one: a. working. b. working as a percentage of the number of people available to work. c. in the labor force.