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The city of Sundown is considering a plan to build a convention centre to revitalize the downtown area. The project requires hiring workers in the construction union. Because of unionization, the workers’ wage rate is above the value that would be determined by supply and demand. However, city analysts have econometrically estimated the wage that would prevail if the labour market were competitive. a. If the convention centre increases the total number of construction workers employed, what is the appropriate cost of labour? b. Suppose instead that total employment is unaffected; workers leave private projects to work on the convention centre. Does your answer to (a) change? Why
Explicate how these projected deficits will affect the US Stock and bonds. Could you explicate briefly this question thank you.
Estimate the strength of your bargaining position for each option. Which of these would be the most advantageous.
Which region appears to have a comparative advantage in producing cut flowers: Colombia or California? Explain. How have U.S. consumers of cut flowers been affected by the cutback in Colombian imports?
Unlike the traditional mortgage amortization schedule, "negative-amortization" mortgages permit the:
Oligopoly is the predominant market structure in the airline industry. In the express package business, FedEx, UPS, and DHL compete in the global air express industry. In the US, FedEx and UPS are a duopoly.
Quasimodo has a demand function for earplugs that is given by the equation D(p) = 100 − p. (a) If the price of earplugs is $50, how many earplugs will he consume? (b) If the price of earplugs is $70, how many earplugs will he consume? (c) What is the..
Both the long-run aggregate supply curve and the short-run aggregate supply curve shift in response to changes in the availability of labor or capital or to changes in technology and productivity.
What is the present value for the following cases? A series of 9 monthly payments starting at $400 in the first month increasing by $100 every month with an interest rate of 6% compounded monthly. A series of 11 monthly payments starting at $200 in t..
Q1. How does the financial aspect of an organization influence decision making and the outcome?
Consider the following distribution of income in a 12-person economy, with the modern urban wage = 3, the traditional rural income = 1 and the informal urban wage = 2: (1, 2, 3, 1, 2, 3, 1, 2, 3, 1, 2, 1). The poverty line is at 1.5. Derive the table..
These forecasts for the Internet creating “perfectly competitive” markets were based on the competitive model we have presented in this chapter. Do you think the Internet has helped create more competitive markets or less? Why?
Who is the current Chairman of the Federal Reserve? What is he doing to boost the financial market and the economy? Can he help revive the housing market? Did the REFI (Mortgage Refinancing) Boom help the economic recovery? Let's find out what the Fe..
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