Given the following diagram that shows the relationship between the price of good X relative to the price of good Y (PX/Py) and the wage rate relative to the return to capital or rental rate on capital (w/r), and also indicates relative factor prices in country A [(w/r)A], relative factor prices in country B [(w/r)B], relative autarky goods prices in country A [(PX/PY)A], relative autarky goods prices in country B [(PX/PY)B], and (w/r)* [where the (PX/PY) associated with (w/r)* is the highest (PX/PY) on the graph]: Px/Py (P/PY) (Px/PV) (w/p)A (w/-)* (w/5)8 w/r At (w/r) values less than (w/r)*,. and, at (w/r) values greater than (w/r)*,. good. is the relatively labor-intensive good the relatively labor-intensive

Consider the labor market for workers who build boats. For each of the given scenarios, graphically show the effect on the market for boat-builders. a. Boat manufacturers begin using more efficient robots on the assembly line, and the substitution effect dominates the scale effect. Wage ($ per hour) Quantity of workers Labor supply Labor demand

Ginny currently earns a    (a. nominal; b. real)    wage of $12.00 per hour; in other words, the amount of her paycheck each week is $12.00 per hour times the number of hours she works. Suppose the price of sparkling water is $2.00 per gallon; in this case, Ginny's    (a. real; b. nominal)   wage, in terms of the amount of sparkling water she can buy with her paycheck, is     (blank)      gallons of sparkling water per hour. When workers and firms negotiate compensation packages, they have expectations about the price level (and changes in the price level) and agree on a     (a. nominal; b. real)         wage with those expectations in mind. If the price level turns out to be higher than expected, a worker's     (a. real; b. nominal)     wage is   (a. lower; b. higher)      than both the worker and employer expected when they agreed to the wage.   Ginny and her employer both expected inflation to be 3% between 2012 and 2013, so they agreed, in a two-year contract, that she…

Suppose Amy earns $575 per week working as an interior designer for Ourhouse. She uses $10 to take a yoga class at Big Bend. Big Bend pays Van $400 per week to instruct yoga. Van uses $150 to purchase furniture from Ourhouse. Identify whether each of the following events in this scenario occurs in the factor market or the product market. Factor Market Product Market Event Van earns $400 per week working for Big Bend. Amy earns $575 per week working for Ourhouse. Amy spends $10 to take a yoga class. Which of the elements of this scenario represent a flow from a firm to a household? This could be a flow of dollars, inputs, or outputs. Check all that apply. ✔The $400 per week Van earns working for Big Bend The $150 Van spends to purchase furniture from Ourhouse Amy's labor O The yoga class Amy receives

Please provide accurate and correct answers to both questions without explanation. Thank you for your assistance.

Draw a supply and demand graph for the labor market where the supply of labor (S) represents the quantity supplied of workers (all types of workers not just carpenters) at various wage rates (W) and the demand for labor (D) represents the demand for labor (all types of workers not just carpenters) at various wage rates. Label the market equilibrium wage rate (W) and the equilibrium quantity of labor employed (L).

In the diagram, at which point is the marginal rate of substitution of renewable fuels for fossil fuels less than the relative price of renewable fuels (MRSR,F < PR/PF)? Fossil Fuels B. BL2 IC2 BL1 BL3 Renewable Fuels X2 OA. A Ов. В OC. C D. D OE. E .....

The average 15-year-old purchases 100 song downloads from iTunes and buys 20 cheese pizzas in a typical year. If cheese pizzas are inferior goods, would the average 15-yearold be indifferent between receiving a $50 gift certificate for iTunes and $50 in cash? Explain.

SUBSTITUTION AND INCOME EFFECTS OF A WAGE INCREASE When the wage rate increases from $10 to $30 per hour, the worker's budget line shifts from PQ to RQ. In response, the worker moves from A to B while decreasing work hours from 8 to 5. The reduction in hours worked arises because the income effect outweighs the substitution effect. In this case, the supply of labor curve is backward bending. Income (dollars per day) 720 240 w= $30 w= $10 12 16 www. 19 Substitution Effect Income Effect Derive the graph into a backward bending labor supply curve Q 24 Hours of leisure

The following graph input tool shows the daily demand for hotel rooms at the Oceans Hotel and Casino in Atlantic City, New Jersey. To help the hotel management better understand the market, an economist identified three primary factors that affect the demand for rooms each night. These demand factors, along with the values corresponding to the initial demand curve, are shown in the following table and alongside the graph input tool. Demand FactorInitial ValueAverage American household income$50,000 per yearRoundtrip airfare from Pittsburgh (PIT) to Atlantic City (ACY)$250 per roundtripRoom rate at the Meadows Hotel and Casino, which is near the Oceans$250 per night For each of the following scenarios, begin by assuming that all demand factors are set to their original values and Oceans is charging $100 per room per night. If average household income increases by 20%, from $50,000 to $60,000 per year, the quantity of rooms demanded at the Oceans____    from rooms per night to______rooms…