User Account

All Pages

What is the competitive equilibrium outcome in labor market

Assignment Help Microeconomics
Reference no: EM13699482

There are two distinct sectors: taxidermists (X) and tap dancers (T). It is surprising that there is complete labor mobility between the two sectors. There are 200 equally talented workers who supply their labor in elastically. The demand for taxidermists is EX = 190 - 10 WX, and the demand for tap dancers is ET = 160 -5 W T.

a) What is the competitive equilibrium outcome (equilibrium wage and employment level in each sector) in this labor market?

b) What would happen if the government imposed a minimum wage of $12 that covered only the tap dancer sector?

Reference no: EM13699482

Questions Cloud

According to keynesian theory : According to Keynesian theory:
Gross domestic product and employment : The purchase of copy paper by Intel for the company staff, The purchase of an electronic handheld organizer by a sales manager to keep track of clients, The purchase of a new aircraft carrier by the Navy. Next, identify whether each item falls into t..
The daily demand and supply of fish in fire island : The daily demand and supply of fish in Fire Island, NY is described by the following equations: Demand: Price Demand =2, Supply: Quantity supplied = 5. What is the market price of fish in Fire Island? How much is consumer and producer surplus?
Compare the new demand curve or supply curve : Draw a demand–supply graph and label the axes with the price and quantity of khaki pants. Next, for each scenario, draw the appropriate demand–supply curve. Compare the new demand curve or supply curve by drawing it on the same graph.
What is the competitive equilibrium outcome in labor market : There are two distinct sectors: taxidermists (X) and tap dancers (T). It is surprising that there is complete labor mobility between the two sectors. There are 200 equally talented workers who supply their labor in elastically. The demand for taxider..
Foreign-currency exchange and on net capital outflow : How do these things affect the U.S market of foreign-currency exchange and on net capital outflow (NCO): A tax reform that imposes higher capital gains tax to Americans involved in offshore banking?
In multiple regression analysis : In multiple regression analysis, explain why the typical hypothesis that analysts want to test is whether a particular regression coefficient ( B) is equal to zero ( H0: B 0) versus whether that coefficient is not equal to zero ( H1: B 0).
Accounting for some of the decline in attendance : Movie attendance dropped 8 percent as tickets prices rose a little more than 5 percent. What is the price elasticity of demand for movie tickets? Could price elasticity be somewhat overestimated from these figures? That is, could other things have ch..
Home country problem : Home Country: Given that the total market of the Home country is 900,000 units. Given the equations and parameter values above, solve for the equilibrium number of automobile companies, the number of cars each firm will produce, and the price of the ..

Reviews

Write a Review

Microeconomics Questions & Answers

  What happens to consumer surplus

What happens to consumer surplus and what happens to total surplus assuming the government sells the consumer

  Find the range of workers where there are increasing

1. you are given the following information about the amount your company can produce per day given the number of

  Analysis of the hold up problem

What does the analysis of the 'hold up' problem contribute to the explanation of the size and scope of firms?

  The level of total consumption in equilibrium

What is the difference between the optimal level of total consumption and the level of total consumption in equilibrium?

  What is the best optimal strategy for each firm

Given the following payoff matrix, (a) What is the best (optimal) strategy for each firm? (b) Would firm A using the low price as a threat if firm B enters? (c) What could firm A do to make its threat credible without building excess capacity

  Current economic regulations and processes

Explain how a item might evolve from one market structure to another and what that means as to the value, competition and number for companies producing that product.

  Economy is experiencing inflation

If the economy is experiencing inflation, then the most appropriate government policy would be to:

  What is the purported benefit of fair-trade certification

How does a fair-trade product differ from an otherwise identical imported good What is the purported benefit of fair-trade certification on purchases of goods such as chocolate, coffee, bananas, and tea? Do fairtrade goods improve average wages or..

  Concept of profit maximization and total costs

Suppose you are the manager of College computers, a producer of customized computers that meet specifications needed through the local university.

  Improve the precision of the performance measure

The Principal can invest in monitoring to improve the precision of the performance measure,according to the monitoring technology

  The level of income that is rather than assuming tx txo we

thinking about modifications in the model again go back to the original model again but add a marginal propensity to

  How does tax relate to elasticity of demand and supply

What is the tax incidence of an excise tax when demand is highly inelastic Highly elastic What effect does the elasticity of supply have on the incidence of an excise tax What is the efficiency loss of a tax

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd