1) Inadiagram of the labour market A) a temporary adverse productivity shock causes the labour supply curve to shift to the left. B) labour supply is a negatively sloped curve. C) labour demand is a positively sloped curve D) the quantity of labour demanded equals the quantity of labour supplied at the equilibrium real wage. E) None of the above

1) Inadiagram of the labour market A) a temporary adverse productivity shock causes the labour supply curve to shift to the left. B) labour supply is a negatively sloped curve. C) labour demand is a positively sloped curve D) the quantity of labour demanded equals the quantity of labour supplied at the equilibrium real wage. E) None of the above

Economics (MindTap Course List)

13th Edition

ISBN:9781337617383

Author:Roger A. Arnold

Publisher:Roger A. Arnold

Chapter17: Economic Growth: Resources, Technology, Ideas And Institutions

Section: Chapter Questions

Problem 5WNG

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hy does a measure of labor productivity—the output produced per worker– rise for many firms during recessions? During the boom years period of 2005through November 2007, the annual average output per worker was lower in U.S.manufacturing than during the Great Recession of 2007–2009 as well during therelatively low-demand years since then through 2013.Firms produce less output during recessions as demand for their products falls.Consequently, firms typically lay off workers during recessions. Thus, whetheroutput per worker rises or falls depends on whether output or employment fallsby more. The labor productivity pattern over the business cycle differs across in-dustries. If we know about a firm’s production process, can we predict whetheroutput produced per worker will rise or fall with each additional layoff?
Why do we assume that changes to Total Factor Production are persistent? i know that its important and that it affects the outcome. is it because persistent means the changes are not temporary in the market and therefore doesnt try to readjust over time but rather it has long term affects.
Suppose an economy's output is determined by a Cobb-Douglas production function Y-AKL¹0 where A-8 and a-0.2. All other things remaining unchanged, if labour input increases by 5 percent, output will rise by: Ⓒ 1% O 4% O 2% 5%
The relation between technology and the quantity of factor inputs to Real GDP is specified by the production function. O True O False Note:- Please avoid using ChatGPT and refrain from providing handwritten solutions; otherwise, I will definitely give a downvote. Also, be mindful of plagiarism. Answer completely and accurate answer. Rest assured, you will receive an upvote if the answer is accurate.
5) Refer to Table 22.3.1. above. The tables show the labour market and the aggregate production function schedules for the country of Pickett. a) Plot (create a graph) of both the aggregate labour market and aggregate production function. Using these graphs, what is theequilibrium real wage and quantity of labour? What is the level of real GDP? b) At the equilibrium in the labour market, what is the amount of labour productivity associated with that equilibrium? (Show your calculations) c) If the quantity of labour supplied increases by 20 billion hours at every real wage level, what would be the new level of labour productivity? (Show your calculations) d) If only the quantity of labour supplied is increasing over time, what is the impact on the production function and the level growth rate of real GDP per hour over time? Fully explain your answer.
What is the effect of diminishing returns to labor on the slope of the aggregate production function (where output is measured on the vertical axis and employment is measured on the horizontal axis)? a. It implies that the slope of the curve decreases as the number of workers employed increases. b. It keeps the slope the same throughout. c. It implies that the slope of the curve becomes negative as the number of workers employed increases. d. It has nothing to do with the slope of the aggregate production function. e. It implies that the slope of the curve increases as the number of workers employed increases.
Decrease Remain constant None of these andino Increase Production function Technology Productivity: 100 The interactive above shows aggregate production, it will be helpful in answering the following question. For a given amount of labor, if capital stock were to increase, marginal product of labor would.... Returns to scale: 100 Capital stock: 100 Reset sliders
A new highway linking two major towns is constructed. What would be the impact on the country's production function? Select one: a. shift inwards O b. remain unchanged Ocmovement downward along the same curve O d. shift outwards e. movement upwards along the same curve Next page age n this page e here to search
Assume that Economyland’s production function is Y = F (K, L) = K 0.5 L 0.5Where Y is output level, K is the amount of capital input, and L is the amount of laborinput. a) What is the per-worker production function, y= f (k) for Economyland? b) Assume that 10 percent of capital depreciates each year and savings rate is 20 percent,find the steady-state level of capital per worker for Economyland. Then find the steady-state levelof income per worker and steady-state level of consumption per worker. c) Is it possible to save too much? Why?
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2. Assume that we have a Cobb-Douglas type aggregate production function in the form: Y = WK" L1-r where. W=technology and r is standard share parameter of Cobb-Douglas production function. а. Find Marginal Rate of Technical Substitution (MRTS) between K and L. b. Why does (or does not) technology affects MRTS? Explain. с. Find output per effective labor; capital per effective labor (y=Y/WL and k= K/WL). Find elasticity of substitution between K and L. Why does (or does not) the d. result different from the previous question (Question-1)?
How is the concept of technology, as defined with the aggregate production function, different from our everyday use of the word?