Use a supply and demand diagram to show how migration affects wages in a high-wage country and a low-wage country
The market for unskilled workers for a high-wage country and a low-wage country is shown above. When the equilibrium wage in the high-wage country is set above that of the low cost country, immigration occurs. The supply of labor in the high-wage country increases and decreases in the low-wage country as workers move toward the higher wage. This change lowers the equilibrium wage in the high-wage country and increases it in the low-wage country until they are equal. The increase in the quantity of labor in the high-wage country causes output in that country to increase, while output in the low-wage country decreases.
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A firm's accounting profit does not include its:
a. explicit costs. b. sunk costs. c. fixed costs. d. opportunity costs. e. variable costs.
Which of the following would increase the amount of an inferior good that buyers would like to purchase?
a. an increase in buyers' incomes b. an increase in the price of a complement c. a decrease in the price of a substitute d. a decrease in buyers' incomes e. a decrease in its expected future price
Which of the following is true?
What will be an ideal response?
Insufficient capital formation can limit a poor nation's economic growth.
Answer the following statement true (T) or false (F)