The above table has the marginal product schedule for Nick's Dry Cleaners, a perfectly competitive dry cleaning firm
a) If the price to dry clean a blouse is $8 each, complete the last column of the table.
b) If Nick can hire workers at the going wage rate of $16 an hour, how many workers does Nick hire?
Quantity of labor
(workers) Marginal product
(blouses cleaned per day) Value of marginal product
(dollars per day)
1 4 32
2 4 32
3 3 24
4 2 16
5 1 8
a) The completed table is above.
b) Nick hires 4 workers because that is the quantity of workers that sets the value of marginal product equal to the wage rate.
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You buy new water skis and other new equipment for $2,500 and take a week off of your job, where you earn $1,000 a week, to go water skiing. The equipment you purchased was all produced in the United States. You think that the week was worth $4,000
As a result of your vacation, GDP changes by how much?
An individual labor-supply curve represents:
A. a worker's decisions around how many hours to work at each alternative wage. B. the decisions of all workers around how many hours to work at each alternative wage. C. a firm's decisions around how many hours to hire at each alternative wage. D. the decisions of all firms around how many hours to work at each alternative wage.
The speed at which abnormal net income falls to zero is called
A) the balance sheet exposure. B) the depreciation rate. C) the decay rate. D) the exchange rate.
What does GGD stand for?
(a) Government's Great Deeds. (b) General Government Deficit. (c) General Government Debt. (d) General Government Defence.