Answered: Describe why some workers earn higher…

Describe why some workers earn higher wages than other workers 4. (Why Wages Differ) Why might permanent wage differ- ences occur between different markets for labor or within the same labor market?

ECON MICRO

5th Edition

ISBN:9781337000536

Author:William A. McEachern

Publisher:William A. McEachern

Chapter12: Labor Markets And Labor Unions

Section: Chapter Questions

Problem 2.4P

See similar textbooks

Related questions

Q: Consider an economy with two labor markets: one for manufacturing workers and one for service…

A: "Since you have asked two questions, we will answer only first question foru. If you have any other…

Q: question : summarise in your own words the following in about 350 words: This article presents…

A: The market for labor is something that is developed not just by economic interplays, but also by an…

Q: 12-1 Explain why the quantity of labor supplied increases with the wage, other things remaining…

A: Assuming that a worker has two options to choose from, he can either choose to work or he can choose…

Q: 3. You are given the following information about the output of good X as successive workers are…

A: Marginal Physical product (MPP) is the change in total product because of employing 1 additional…

Q: 3. Use the wage curve and the profit curve to show the equilibrium in a model of the labour market.…

A: Unemployment refers to a state in an economy when the people who are willing to work are not able to…

Q: QUESTION 20 Which of the following is correct? O A. The Bureau of Labor Statistics produces data on…

A: INTRODUCTION: The Bureau of Labor Statistics (BLS) is a federal agency that does collect and…

Q: Use Table: Employment and Output. In the table, if the price of a bushel of wheat is $10, then the…

A: Value of marginal product of labor = marginal value added by the labor * price of the good.

Q: What is the production gap? a) Optimal employment B) underemployment NS) full employment…

A: Production gap shows the difference between actual production and perceived potential production.

Q: Describe each actor in the market (i.e. what assumptions are made about them; what side of the…

A: The labor market is defined as the supply and demand for labor, with employees supplying the supply…

Q: Regarding the existence of high-wage workers and low-wage workers, which of the following statements…

A: Hello. Since your question has multiple sub-parts, we will solve the first three sub-parts for you.…

Q: discussing factors of production. How would you determine the demand for a factor of production?…

A: Factors of production:- a) Capital. b) Land. c) Labor. a) The demand for a production factors is…

Q: Question 28 of 50 Both Thomas Malthus and David Ricardo, who described the "iron law of wages,"…

A: The theory was first named by Lassalle around the mid-nineteenth century. The iron law of wages was…

Q: 02. Why does a profit-maximizing firm hire workers up to the point where the wage equals the value…

A: Profit maximisation is the goal of all reasonable businesses. This is due to the fact that earnings…

Q: Imagine a firm that hires two types of workers—some with computer skills and some without. If…

A: The marginal product of a factor refers to the change in the total output produced due to an…

Q: On average, wages in Canada are higher than that of many other countries in the world. What explains…

A: Labor is a derived demand as it depends upon the demand for a good in the goods market. The price…

Q: 1. Why wages differ For each of the scenarios in the following table, indicate the most likely…

A: Wages are the income which are earned by the workers in exchange for offering their labor to the…

Q: Which analytical framework is typically employed in order to estimate the impact of immigrants on…

A: There are different factors on which the demand for labour depends and the rise in demand for labour…

Q: 8. Use the production data shown here on the left and the labor supply data on the right for a…

A: Marginal product refers to the additional output obtained due to increasing one ore unit of labor.…

Q: 5. Labor Market Suppose there is a town with 2,500,000 people. 850,000 of these people work full-…

A: Total People in Town = 2,500,000 Full time Worker = 700,000 Part Time Worker = 275,000 Under Age…

Q: 1) You are hired by the government to evaluate the impact of a policy change that affects one group…

A: “Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: (Nonwage Determinants of Labor Supply) Suppose that two jobs are exactly the same except that one is…

A: Job amenity refers to an additional feature or benefit that enhances the desirability of a job. In…

Q: Labor markets are an important concept to understand in terms of how wages are determined. Identify…

A: In a labor market, wages are determined by the intersection of the downward sloping demand curve of…

Q: 11. Describe what happens to quantity of labor supplied when wages are at the equilibrium level,…

A: Labor: - labor is one of the factors of production, any physical and mental work by humans against a…

Q: What does employment in the narrow sense include? a) Entrepreneur B) Fee NS) Natural…

A: Economics as a subject was developed since there was a limited amount of resources on earth.…

Q: Question 27 27. Monica has given up on looking for work after having no success over the last four…

A: Unemployment includes those people who are unable to secure jobs at the existing wage rate. These…

Q: - *Suppose Congress were to pass legislation requiring that businesses employing workers with three…

A: In minimum wage law, there is a minimum wage that needs to be paid to the laborers, it is generally…

Q: Figure 12.8 "Where U.S. Latinos Live" shows the states with the 6) highest Latino populations.…

A: The geographic location of a statistical unit, as well as the location for which statistics are…

Q: am writing an assignment paper to study the role of social networks in wage differentials between…

A: The strength of social networks increases residual income disparity in different skill groups via…

Q: 1. Suppose Ali receives a wage increase from 200 TL to 400 TL per hour, holding his non-labor income…

A: We will answer the first question since the exact one was not specified. Please submit a new…

Q: 3. Suppose the following equation characterize supply and demand in the labor market model: labor…

A: Given; Labor Supply; Ls=1+wLabor demand; Ld=11-w

Q: 17. Ronald Reagan claims that his tax reform plan will incentivize businesses to invest in new…

A: The policies of Ronald Reagan was known by Reaganomics. He was the 40th president of the United…

Q: 18. Europe has become more economically integrated over the past few decades and its economists have…

A: Wage rate is determined by the market forces of demand and supply of labor. Economic integration…

Question

12-2 Describe why some workers earn higher wages than other workers
4. (Why Wages Differ) Why might permanent wage differ- ences occur between different markets for labor or within the same labor market?

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.

Similar questions

Assess whether the following would be counted as unemployed in the Current Employment Statistics survey. A husband willingly stays home with children while his wife works. A manufacturing worker whose factory just closed down. A college student doing an unpaid summer internship. A retiree. Someone who has been out of work for two years but keeps looking for a job. Someone who has been out of work for two months but isnt looking for a job. Someone who hates her present job and is actively looking for another one. Someone who decides to take a part time job because she could not find a full time position.
How would you expect immigration by primarily low-skill workers to affect American low-skilled workers?
Would you expect the presence of labor unions to lead to higher or lower pay for worker-members? Would you expect a higher or lower quantity of workers hired by those employers? Explain briefly.
Table: Employment and Output Quantity of Labor(workers) Quantity of Wheat(bushels) Marginal Product of Labor(bushels per worker) 0 0 19 1 19 17 2 36 15 3 51 13 4 64 11 5 75 9 6 84 7 7 91 5 8 96 Reference: Ref 19-4 Table: Employment and Output (Table: Employment and Output) Use Table: Employment and Output. In the table, if the price of a bushel of wheat is $10, then the value of the marginal product of the third worker is: Select one: a. $15. b. $510. c. $150. d. $170.
Q.2 Labor markets are an important concept to understand in terms of how wages are determined. Identify one demand and supply factor that can impact wages in markets. Explain one of the main reasons why the large wage gap exists in the United States and provide one solution of this wage gap.
3.1 Labor market equilibrium occurs at a real wage at which the quantity demanded for labor equals the quantity ................ of labor.
1. Describe with the use of diagam how the wage rate and level of employment are determined if the labor market is purely competitive
1. Describe how the wage rate and level of employment are determined if the labor market is purely competitive
2. The following table provides local and national employment figures for three business sectors. Calculate the location quotients for the auto industry, health care, legal services and identify it as a basic (exporting) or non basic (service) industry. Remember this method requires you to compare the % of total employees in a particular industry in the local economy to the % of employees in that industry nationwide. If the local has a higher % (greater than 1), then it is considered a favorable or exporting industry. For example, for health care locally has 8.33% (25,000/300,000) of the local workforce, while nationally only 1.6% (1,400,000/120,000,000) works in health care. The LQ would be 8.33/1.16 or 7.15 which is greater than 1 and means health care is an exporting (basic) industry. Table for Economic Base, Location Quotients Industry Local City Employment National (USA) Employment % local %…
Q33 In order to maximize profits, a firm needs to determine the quantity of each factor that it will employ, which is dictated by price as well as productivity of the factor. Assume farmer in the Ottawa area named Justin Trudeau has fixed amounts of land and capital and finds that total product is 24 for the first worker hired, 32 when two workers are hired, 37 when three are hired, and 40 when four are hired. Justin Trudeau product sells for $3 per unit, and the wage rate is $13 per worker. The marginal product of the second worker is Multiple Choice 32 14. 8 1 5
From the table below, what can you infer is the market price in dollars of the product? (# of Labor inputworkers) Total product(# of goods) Marginal Product of Labor (MPL) Marginal Revenue Product of Labor (MRPL) 0 0 - - 1 12 12 $24 2 21 9 $18 3 28 7 $14 4 32 4 $8 5 35 3 $6