Related to the theory of equilibrium in the labor market. Describe the impact of the following policies on equilibrium in the labor market in detail (Assumption: Labor supply is elastic): a. Payroll Tax imposed on companies. b. Imposition of Income Tax which is borne by employees. c. Income Subsidy Imposition (Payroll Subsidy)

true or false? The entrance of more workers into a particular labor market is likely to drive down the wage in that market

The graph below provides a supply and demand curve for food servers, complete 1a – 1d using the graph.   1.a.  The equilibrium wage and the number of food servers employed per day, respectively, are: 1.b.  Suppose that in the interest of boosting incomes of the working poor, Congress imposes a minimum wage of $6.00 per hour. This minimum wage rate creates a(n): 1.c.  Assume that both input and output markets are perfectly competitive. If one additional server increases the number of meals sold by four per day and each meal sells for $10, each additional food servers will be paid: 1.d.  If the equilibrium wage rate increased, the cause could be that either:

WAGE (Dollars per hour) 15 Labor Supply 12 0 200 400 600 Labor Demand 900 1000 QUANTITY (Thousands of workers) Graph Input Tool Labor Market Wage Rate (Dollars per hour) Labor Demanded (Thousands of workers) $11.1 260 Labor Supplied (Thousands of workers) 740 480 Surplus Labor (Thousands of workers) Labor Demand Shifters Tax Credit (Dollars per hour) ° ? Suppose the minimum wage in this economy is $11.10 per hour. An unemployed worker is defined as someone who is willing to work at the prevailing wage but is unable to find employment. Because the minimum wage lies above the equilibrium wage, it is binding, which means it is also the prevailing wage. If the wage is not allowed to fall below $11.10 per hour, the size of the unskilled labor force is workers are considered unemployed. The unemployment rate is defined as the percentage of unemployed workers in the labor force: Unemployment Rate = Unemployed Labor Force x 100 workers, and unskilled At a minimum wage of $11.10 per hour, the…

Problem 2: In a labor market, demand and supply curves are given by these equations: Demand: LD = 60 - 5W Supply: Ls = 5W a. Calculate wages and employment in Equilibrium Draw a graph describing this market b. c. What happens in this market if w= 8 ? d. What happens in this market if w=4?

Suppose that for every hour worked in the labour market, single mothers use an hour of childcare, and the hourly childcare cost is π pounds. The members of Parliament are interested in evaluating the impact of two different policies: Policy 1: provides single mothers with a lump sum benefit. Policy 2: provides single mothers with a fixed tax cut for every pound earned. What are the impacts of these two policies on labour supply (hours worked and participation rates) of single mothers in the UK (United Kingdom)? Do you expect the impact of these two policies to be different? Why? (400 words)

Refer to the following graph of the demand for and supply of armed forces personnel. Da Wage B A E CS с F D 0 HG The height of the supply curve (5) measures the cost to taxpayers of drafting a worker. the value to the military of drafting a worker. the difference between the cost to the taxpayer and the cost to the military of drafting a worker. the opportunity cost of a potential draftee Labor

Economics: Labor Economics Question: 1 An employment subsidy will cause all of the following to occur except: A. An employment subsidy is essentially a negative tax B. An employment wage subsidy reduces the net wage a firm pays C. An employment subsidy will shift the labor demand curve up D. An employment subsidy does not affect the size of a firm's workforce   Question: 2 The lower the elasticity of substitution between labor and capital the less elastic is the demand for labor. This is because: a.a firm is more willing to pay higher labor costs if it is difficult to substitute capital for labor. b.a firm is less willing to pay higher labor costs if it is easy for the firm to substitute capital for labor. c.the firm’s output price falls when the firm produces more output. d.labor supply increases when wage increase e.firms always have options of substituting capital for labor.   Question: 3 In terms of migration what is mean by wage convergence? a. Wages in a particular location will…

Question 1 Candice's' Cookies is a new cookie delivery company in Gainesville, Florida. The firm hires local college students to sell cookies door-to-door in higher income neighborhoods. Each of these "Sales Associates" sells cookies, which increases Candice's Cookies' total revenue, but must be paid an hourly wage. The graph below depicts Candice's Cookies' demand for labor curve when the retail price of a cookie is $2. $35 Hourly Wage C. 3 cookies D. 4 cookies E. 5 cookies $30 $25 $20 $15 $10 $5 6 8 10 12 14 Number of Sales Associates Part (i): Suppose that the retail price of a cookie is $2.50. What is the marginal product of the 4th Sales Associate? A. 1 cookie B. 2 cookies Part (ii): Suppose that the retail price of a cookie is $2.50. What is the marginal product of the 6th Sales Associate? A. 1 cookie B. 2 cookies C. 3 cookies D. 4 cookies E. 5 cookies Part (iii): Suppose that the retail price of a cookie is $2.50. What is the marginal product of the 8th Sales Associate? A. 1…