Economics: Private and Public Choice (MindTap Course List)
16th Edition
ISBN: 9781305506725
Author: James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Publisher: Cengage Learning
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Question
Chapter 26, Problem 5CQ
To determine
Differences in the wage earnings and productivity.
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According to an article by the Wall Street Journal, the U.S. is at risk of running out of occupational therapists, railroad engineers, mathematicians, machinists and other workers. As a result, In the next 10 to 15 years, we expect U.S. employers to demand more labour than will be available, which will, in turn, constrain overall economic growth. On the top of that, U.S. president Donald J. Trump has put executive orders to ban nationals of selected countries from entering the U.S. Meanwhile, the top economic analysts and leaders believe that the country is going to strengthen and tighten its immigration polices to a much greater extent in the coming days.
a) Referring to the above extract, briefly state in a line what do you think will happen to the U.S. labour market.
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Chapter 26 Solutions
Economics: Private and Public Choice (MindTap Course List)
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- I have two questions. 1. What are three reasons a worker's wage might be above the level that balances supply and demand? 2. Explain the difference between physical capital and human capital?arrow_forwardWhat determines how productive workers are? How do gains in labor productivity lead to gains in GDP per capita?arrow_forwardWhat are the three factors that impact productivity? Provide an example for each factor describing how productivity is impacted.arrow_forward
- Which type of worker would earn the high income but has lesser marginal productivity? a.Fashion model b. CEO c. Farm owner d. Computer programmerarrow_forwardIf birth rates go up, what happens to the size of the labor force in the future?arrow_forwardCan the retained earnings be reinvested in the business? How?arrow_forward
- The labor force is made up of all people who are at least 16 years old and are capable of working. TRUE OR FALSE?arrow_forwardSuppose that a person's life is divided into two periods. A period of poor economic times, when this person earns $28 per hour of work, and a period of good economic times when they earn $42 per hour. The person cannot work more than 2000 hours in a single period, but they want to earn $107,000 total across both periods. What is the minimum number of hours this person needs to work total? Round your answer to two decimal places. Then take a second and thing about what is happening to GDP in each time period and connect the dots to Real Business Cycle Theory.arrow_forward
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