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Consider an economy like the one above, except that the wages paid in the high-wage industry fall as the number of workers in that industry rises. In particular, assume that each worker's wage income is
where p is again the fraction of workers in that industry. The wage income of low-wage workers continues to be fixed at $4. Find all of the pairs (yH , yL) that can occur in this economy.
Which specific components are up, and which are down? What has been the trend of the composite index over the past 3 months?
David Ding advertises on a local radio station. For the pastsix weeks, the manager has kept records of the number of minutes ofadvertising that were purchased, and the sales for that week. Week1, 2 minutes of advertising with $1.400 in sales.
Traditional contract law treats breach of contract and discharge due to impossibility or commercial impracticability as distinct problems. Explain the sense in which economic theory views them as variants of a single problem where the relevant que..
QD = 140,000- 25,000P QS = 20,000 + 75,000P, where Q = daily sales in 6 packs of beer, and P = price per 6 pack. The city has hired you to provide the following information regarding the beer market and the proposed tax.
Due to its remoteness, Siberia can be considered as a closedeconomy. Recent data about its popula- tion movements indicate thatthe region suffered from a severe loss in its working agepopulation from 1995 to 2005.
Suppose that First Bank has $34 million in checkable deposits, Second Bank has $47 million in checkable deposits, and the reserve requirements for checkable deposit is 10%.
What is the optimal number of TV ads and magazine ads What will be the minimum possible level of total expenditures on television and magazine ads necessary to successfully promote the GTS in Chicago
If trade barriers hurt the average worker in an economy (due to lower wages), why does government create trade barriers?
Determine what should you do to maximize benefits with respect to values after you acquire a substitute product. Which values should you change more?
Ralph uses three inputs (denoted z1 = 0, z2 = 0 and z3 = 0) to produce two products (denoted q1 and q2). Respective factor prices are P1 = 1,P2 = 5 and P3 = 2. Technology requires z1+z3 = q1 and z2 + z3 = q2.
The price at point a is $70 and the price at point c is $10 per bag. The price at point d is $56 and the price at point e is $31 per bag. The price at point f is $67 and the price at point g is $32 per bag.
What are the principal reasons for the relative stagnation of developing-country agriculture in Africa? How can this disappointing performance be improved on in the future? Explain your answer.
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