When market price is below equilibrium price
A. a shortage is generated.
B. market price will rise.
C. quantity demanded is greater than quantity supplied.
D. All of the choices are correct.
D. All of the choices are correct.
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As it relates to migration, self-selection is most likely to apply to:
A. Highly-skilled immigrants B. Low-skilled immigrants C. Highly-skilled domestic workers D. Low-skilled domestic workers
Assume that you allocate your income to calzones and juice and that you have not yet spent your entire budget. If the marginal utility of a fourth calzone is 100 and the marginal utility of a third glass of juice is 50, you would
a. eat a fourth calzone because it has a higher marginal utility b. drink a third glass of juice because you've had less juice c. consider the total utility received so far from calzones and juice before deciding what to consume next d. consider the relative prices of calzones and juice before deciding what to consume next e. consider whether or not marginal utility is diminishing before deciding what to consume next
Answer the following statement(s) true (T) or false (F)
1. To know if the addition of a worker will add to a firm’s profits you must know both the marginal revenue product and the marginal resource cost. 2. Marginal revenue product is calculated by multiplying the marginal product times the marginal resource cost. 3. The equilibrium wage (W*) is the median cost of labor, with half of the workers making more and half making less. 4. The substitution effect describes the tendency of workers at a low wage rate to have a high rate of absenteeism. 5. If the substitution effect is stronger than the income effect, the individual’s labor supply curve is backward bending.
What factors contribute to the high level of productivity of the American worker?
What will be an ideal response?