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Q. 1. Predict what would happen to the labor force participation rate of women if wages for women decreased. Explain.2. Predict what would happen to the labor force participation rate of workers in their 50s if Medicare benefits (large health care subsidies for the elderly) were lowered to age 55. Explain.3. In some urban neighborhoods, crime is a potential source of non-labor income for many individuals. Explain how this might affect labor force participation rates in these neighborhoods.4. Consider yourself. Is your individual labor supply curve upward sloping, downward sloping, or backward-bending? Explain.5. Compare and contrast the substitution effect and the income effect in the work hour's decisions of individuals.6. What happens to the work hours of an individual if her wages increase and the income effect dominates? Explain.7. What are the strength of the neoclassical models of labor supply and labor demand? What are the weakness of the neoclassical models of labor supply and labor demand?
Suppose you are the owner-operator of a gas station in a small town. Over the past 20 years, you and your rival have successfully kept prices at a very high level.
You do not incur any cost to produce goods you sell and thus your profit equals selling price if you make a sell. Or three sellers do not have any costs either.
Suppose the price of a can of Diet Pepsi is $1. Find out Sally's optimal consumption of Diet Coke as a function of the unit price of Diet Coke (PC).
Illustrate what is the maximum amount he or she would pay for insurance against a 50 percent chance of losing 3,600.
rises over longer periods. Another research paper verifies these results, but shows how the liquidity effect has diminished over time.
When the Finance Division computed the marginal cost of an engine, it discovered that the new engines were much more expensive than rival engines, even accounting for the expected fuel savings. No one purchased teh engine. How would you make sure ..
You know from data collected on the Widget Market that market demand and market supply have both increased recently. As manager of the facility, what decisions should you make regarding production levels and pricing for your Widget facility?
Do current politicians use to manage and influence to get reelected. Is this a "valid" use of political power.
What order quantity would you advise and how much can they save using your recommendation instead of their one order per year strategy.
Roy Rogers the lead broker at C-U Broke is interested in identifying whether there is a difference
In fact, nominal interest rates do not change significantly in the fourth quarter of the year, due to deliberate Fed policy. Explain and show graphically how the Fed can ensure that nominal interest rates remain stable around Christmas.
Assume the government implements MC pricing regulation. Illustrate the effects of this approach on the diagram, clearly Demonstrate price charged, quantity produced, profits, deadweight loss.
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