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Suppose the immigrant flow from Country X to the US is positively selected. That is, highskilled workers are more likely to leave Country X to move to the US. In order to mitigate this “brain drain” Country X experiences as a result of this migration, public officials in Country X successfully convince all who migrate to the US to pay 10 percent of their wages to the government of Country X. What effect will this policy have on the immigrant flow from Country X?
What is smallest integer price that would make a firm willing to produce a positive amount. Suppose that Dent Carr's long-run total cost of repairing s cars per week.
Sales personnel, whether selling life insurance, automobiles, or pharmaceuticals, typically get paid on commission instead of a straight hourly wage. How does pay in a commission help solve the principal-agent problem between the owners of a business..
As a means for less developed countries to attract the savings and investment necessary for economic growth and development, is short-term portfolio investment better than Foreign Direct Investment? Explain.
q.bob as well as nancy live in a new housing development as well as they would like to have fire hydrants installed to
An entrepreneur is deciding whether or not to open up a new gym. He currently makes $50,000 per year as a personal trainer and will have to give up this job if he opens the gym. If he opens the gym, it will cost $100,000 per year in rent and other op..
Assume only two countries, China and the US. If China decides to stimulate growth through a policy of running a large export trade surplus, does China’s national savings increase? Show the relationship between China’s national savings, domestic inves..
Using Oaxaca decomposition, calculate how much of wage differential is due to discrimination. What is an alternative Oaxaca decomposition that would lead to a different measure of discrimination.
If labor and capital (inputs) are perfect complements in production, but 4 units of labor are needed per unit of capital, find the production and cost functions. Find the cost function for the general form of perfect complements, f(L, k) = min{aL, bk..
If the demand curve is QD = 100 - 10P and there is a $1 price increase, then the elasticity of demand at P = 2 is 2. If the absolute value of a demand elasticity is less than 1, then
Draw the profit-possibility frontier in the duopoly case when the firms have constant and equal marginal costs, decreasing marginal costs, and constant but unequal marginal costs.
What is the intertemporal budget constraint in this model? Explain why some terms have the slope of the budget constraint as a divisor? What does the Ricardian equivalence theorem say? Assuming government borrow-ing is substituted for present-period ..
Suppose there is an increase in the population growth rate. Show graphically how this affects the growth rate of both output per capita and total output in the short and the long run.
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