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Macroeconomics: Private and Public Choice
15th Edition
ISBN: 9781305176799
Author: Gwartney
Publisher: Cengage
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Chapter 2, Problem 2CQ
To determine
Explain the reason for an increase in the wage rate of a painter substantially than their productivity.
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Students have asked these similar questions
To save money, some fast food chains are now having their customers place their orders at computer kiosks. Will the kiosks necessarily reduce the total number of workers employed in the fast food industry?
As the productivity of labor rises, so will the demand for labor.
True – False: Explain
The Apple Pie Factory produces apple pies. The firm sells its product and hires its workers in competitive markets. The market price (p) for a pie is $5 and the wage rate
(w) is $28 per hour. The table below shows the total hourly production (Q) for varying amounts of workers (L). (Remember that for a price-taking firm, p = MR.)
a-b. Fill in the p and w columns and calculate the MP and the MRP for each amount of labour employed. (Enter your responses rounded to the nearest whole numbers.)
L
8
9
10
11
12
Q
65
72
78
83
87
W
$
$
$
$
$
$
$
$
$
р
MP
MRP ($)
$
$
$
$
Chapter 2 Solutions
Macroeconomics: Private and Public Choice
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Similar questions
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