Professional football players earn much higher wages than do accountants. Why?
What will be an ideal response?
While being an accountant requires very specialized skills, the effective barriers to entry into the accounting market are lower than those necessary (that is, high athletic skill) to be a successful football player. Other factors, such as desirability of work conditions, may also factor in here.
You might also like to view...
Suppose that, for every 1 percentage point decline in the discount rate, commercial banks collectively borrow an additional $2 billion from Federal Reserve Banks. Also assume that the reserve requirement is 10%. If the Fed lowers the discount rate from 4.0% to 3.5%, bank reserves will ________.
A. increase by $1 billion and the money supply will increase by $10 billion B. decline by $1 billion and the money supply will decline by $10 billion C. increase by $1 billion and the money supply will increase by $5 billion D. increase by $10 billion and the money supply will increase by $100 billion
Consider the country of Inland. In Inland, people's average tax rates decrease with the level of income. Inland has a ________ tax structure
A) progressive B) regressive C) proportional D) flat-rate
Federal government outlays include ________
A) transfer payments, grants to states, interest payments on the national debt and income tax revenues B) grants to states, interest payments on the national debt, income tax revenues and government purchases C) interest payments on the national debt, income tax revenues, government purchases and transfer payments D) government purchases, transfer payments, grants to states and interest payments on the national debt
If Toby buys two goods and the prices of both goods increase by 50%
A) the budget constraint will be unchanged. B) the slope of the budget constraint stay the same. C) the slope of the budget constraint will decrease. D) the budget constraint will shift outward in a parallel fashion.