A reduction in workers' marginal productivity would result in:
A. a reduction in the equilibrium wage rate.
B. a decrease in labor supply.
C. an increase in labor demand.
D. an increase in equilibrium employment level.
Answer: A
Economics
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Suppose a demand schedule is P = 100 - Q and a supply schedule is P = 20 + 2Q. What is the marginal net benefit curve?
a. MNB = 80 - Q b. MNB = 80 - 3Q c. MNB = 80 + Q d. MNB = 120 - Q e. MNB = 120 - 3Q
Economics
Which of the following does purchasing-power parity imply?
a. the foreign price level times the nominal exchange rate (given as amount of foreign currency per dollar) equals the U.S. price level. b. The price of domestic goods relative to foreign goods cannot change. c. The nominal exchange rate is the ratio of foreign prices to U.S. prices. d. All of the above are correct.
Economics