Explain mathematically why the condition "real wage = marginal product of labor" is a condition for firms' profit maximization. Suppose that consumer's utility is described by the following function: U(x;y) = x2y, where x is the amount of good X that the consumer consumes and y is the...
What is a labor-intensive production technique? What difficulties arise in deciding whether a group of workers has a lower wage because of discrimination? What are the problems that minimum wage causes? What is the marginal product of the fourth worker?
The demand for labor is said to be a "derived" demand. What is the meaning of a derived demand? How does this concept help to determine the demand for labor? Define "elasticity of demand" and give its formula as well. Explain the difference between the aggregate demand curve and the dem...
It includes selecting the type of animal, providing food and shelter, and ensuring the health of the animals. It provides a food source for people and animals and can also be used to create products such as wool, leather, and dairy. In some cases, livestock can also...
representation of the quantity produced or manufactured for a given product or service. In most cases, the quantity is compared based on a given price or the population size. Production quantity can be determined by several factors including, availability of raw materials, labor and population size...
It refers to the economic transactions that allow the movement of services and goods from one country to another. International trade is vital because it provides consumers from one country with a pool of products and services to choose from. These products could be cheaper when imported than...
In economics, labor is subject to the laws of supply and demand. Learn about the labor market in economics. Explore scarcity in labor, review why CEOs make more money than teachers, and examine the impact of market forces on the labor market. ...
Explain how non-monetary factors will influence the outcome of the partial budget. Explain the impact of vested interest on the production of U.S. military goods at the expense of consumer goods. Explain why a household's consumption and labor supply decisions...
Using the model of aggregate demand and aggregate supply, explain how shifts in either aggregate demand or aggregate supply can cause recessions. What are some of the limitations of the aggregate supply and aggregate demand model? Economists say that labor demand is a derived demand...