“Compensating wage differentials will attract U.S. workers even to otherwise undesirable work.” Explain
What will be an ideal response?
Compensating wage differentials are wage premiums given to workers to compensate for undesirable work. One of the extreme views on illegal immigration suggests that immigrants are only given the jobs that native-born workers do not want to perform. Although this view might be correct, this is only true because the inflow of foreign workers suppresses real wages and discourages domestic-born workers from performing these jobs. The willingness of Americans to work at any particular job depends then on the wage rate being paid and high compensating wage differentials will attract U.S. workers even to otherwise undesirable work.
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The demand for loanable funds curve slopes downward because the
A) expected rate of profit is related positively to the real interest rate. B) real interest rate is the opportunity cost of investment. C) price of bonds and stocks is not related to the real interest rate. D) higher the real interest rate, the lower the cost of investment. E) expected rate of profit is factor that "rewards" firms for their investment.
You are studying with a friend and your friend says, "Private goods are excludable and nonrival, while public goods are nonexcludable and rival." Do you agree?
What will be an ideal response?
Explain Microsoft Windows' monopoly positions in terms of network externalities
What will be an ideal response?
An increase in the reserve requirement will lead to increased net exports.
Answer the following statement true (T) or false (F)