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The New York Times cost $0.15 in 1970 and $2.00 in 2011. The average wage in manufacturing was $3.36 per hour in 1970 and $23.09 in 2011.
A) by what percentage did the price of the newspaper rise?
B) by what percentage did the wage rise?
C) in each year, how many minutes does a worker have to work to earn enough to buy the newspaper?
D) did workers' purchasing power in terms of newspaper rise or fall?
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Suppose that business buy a total of $120 billion of the four resources (labor, land, capital, and entrepreneurial ability) from households. how much in revenues do businesses receive in the product market?
problem set one1-price-elasticity of
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