If a woman is out of the work force for 10 years while raising small children, she is legally entitled to
A. her old job back at what wage the current occupant of that job is making.
B. nothing with regard to her previous job.
C. her old job back at the wage she was making at the time.
D. an entry level job with her old employer.
Answer: B
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Sarah makes giant wind chime sculptures for a living. When she makes 4 sculptures, she earns $10,000. When the makes 5 sculptures, she earns $12,500. Next door, Gilbert runs a meditation clinic
When Sarah makes 4 giant wind chime sculptures, the noise from the sculptures does not disrupt his patients, and he earns $7,500. When Sarah makes 5 sculptures, the noise is disruptive and Gilbert's profits fall to $6,000. The city has an ordinance which prohibits noise that disrupts the community. a. If you were the benevolent social planner, would you like to see Sarah make 4 sculptures or 5? Why? b. If bargaining between Sarah and Gilbert is easy, how many sculptures will Sarah make? Describe the bargain that results, if any, including the amount of money that changes hands. c. Is the outcome in part b an outcome that the benevolent social planner would endorse? Why or why not?
Development assistance is designed to encourage a developing country to
a. increase consumer goods today. b. restrict the inflow of foreign direct investment. c. invest in its capital stock. d. reduce labor productivity.
Most innovations come from just a few large industries.
Answer the following statement true (T) or false (F)
Profits are zero when __________ = ___________ = ___________.
Fill in the blank(s) with the appropriate word(s).