Suppose that a person's life is divided into two periods. A period of poor economic times, when this person earns $27 per hour of work, and a period of good economic times when they earn $39 per hour. The person cannot work more than 2000 hours in a single period, but they want to earn $104,000 total across both periods. What is the minimum number of hours this person needs to work total? Round your answer to two decimal places. Then take a second and thing about what is happening to GDP in each time period and connect the dots to Real Business Cycle Theory.

Suppose that a person's life is divided into two periods. A period of poor economic times, when this person earns $27 per hour of work, and a period of good economic times when they earn $39 per hour. The person cannot work more than 2000 hours in a single period, but they want to earn $104,000 total across both periods. What is the minimum number of hours this person needs to work total? Round your answer to two decimal places. Then take a second and thing about what is happening to GDP in each time period and connect the dots to Real Business Cycle Theory.

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter20: Economic Growth

Section: Chapter Questions

Problem 35P: Say that the average worker in the U.S. economy is eight times as productive as an average worker in...

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