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Assume two individuals, A and B, are considering marriage, and each face the same amount of hours a week to be split between market-labor and home-labor. Assume that A can make $20 of market goods per week and $10 household goods per week; assume B can make $10 of market goods per week and $20 of household goods per week. Graphically depict a situation where, upon marriage, B specializes in the production of one good and A splits their time between market and home labor. (Clearly identify the intercepts and kink in their collective production possibilities curve.)
Assume A is a man and B is a woman. We know that the participation rates for men have been decreasing, while at the same time they have increased for women over the 20th C. Assume that the household starts with each individual specializing in the production of different goods. Graphical depict how an increase in the market-labor wage of B could increase her supply of labor (to the market) and at the same time decreases the supply of labor (to the market) for men.
Assume that A and B, upon marriage, specialize in the production of different goods. Consider the possibility that there is effectively no difference between people's productivity when it comes to the production of household goods. Graph their collective PPF using the values in (a) except that maximum amount of household goods produced by each is 10 units.
Assume that, with the values in (a), A and B specialize in the production of different goods upon marriage. Draw two graphs. The first graph shows a bilateral increase in wage inequality (steeper PPF for A and shallower PPF for B), specialization in different goods, but the household has lower utility than if there was specialization in (a).
the production of 200 units of consumer goods and 300 units of capital goods : a) indicates full employment b) may be a result of unemployment c) may be impossible for now d)
farmer grows a bushel of wheat & sells it to a miller for Rs. 1.00. The miller turns the wheat into flour & then sells the flour to a baker for RS. 3.00. The baker uses the flour
The United States postal service report 95% of first class mail within the same city is delivered within two days of the time of mailing. Six letters are randomly sent to different
In the long-run framework, deficits reduce: A. investment. B. taxes. C. government consumption. D. subsidies.
What are the Changes in the exchange rate Assume that United States is our home country and that current euro exchange rate in direct notation is SD= 1.5 (euro/USD). In indirec
The following Table B presents the 2010 population, employment, and unemployment data among working age persons for several countries. a. Calculate the number of people in the lab
Assume that the demand for running shoes is highly inelastic and the supply curve for running shoes is highly elastic. Suppose that the tastes of the exercising public shift away f
Q. Describe the macroeconomic variables? In this section we have summarizes all the macroeconomic variables. The first column denotes the symbol we use for variable whereas col
how to solve problem of scarcity and choice
neoclassical
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