Economics (Irwin Economics)
21st Edition
ISBN: 9781259723223
Author: Campbell R. McConnell, Stanley L. Brue, Sean Masaki Flynn Dr.
Publisher: McGraw-Hill Education
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Question
Chapter 25, Problem 6DQ
To determine
Brain drain.
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6. What is a "brain drain" as it relates to international migra-
tion? If emigrants are highly educated and received greatly
subsidized education in the home country, is there
any justi-
fication for that country to levy a "brain drain" tax on them?
Do you see any problems with this idea? LO23.3
On your diagram, illustrate and explain how the wage increase can lead them to have:
more consumption and more free time
• more consumption and less free time
• less consumption and more free time
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In PPP terms, GDP per capita in Country A is 3 times higher than in
dollar terms. This means that if a US firm employs workers in Country
A at $5 per hour, this would give the the workers in Country A a
purchasing power equivalent to a wage of $15 per hour in the USA.
Select one:
O True
O False
Chapter 25 Solutions
Economics (Irwin Economics)
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- Suppose that the share of population employed in Country B is 60 percent, and that Countries B and D have the same real GDP per capita. Based on the information in the table, what share of Country D's population must be employed? Country Population (millions) Average Labor Productivity ($) 2,000 A B с O E Select one: a. 24 percent O b. 12 percent O c. 8.3 percent O d. 83.3 percent 100 150 75 250 95 10,000 25,000 50,000 60,000arrow_forward7) Suppose that the figure below shows the returns to skills in a source and destination country. Discuss the skill selectivity of migration from the source country. Returns in Destination Country Returns in Source Country Skills This graph is from Borgas Labor Economicsarrow_forwardis a fixed charged levied on imports while is a fraction of the cost of imports. O a. Specific-tariff, Ad-valorem O b. Specific custom tariff; value-added tariff OC. Value-added tariff; specific custom tariff O d. Ad-valorem tariff, Specific-tariffarrow_forward
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