Labor Economics
7th Edition
ISBN: 9780078021886
Author: George J Borjas
Publisher: McGraw-Hill Education
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Question
Chapter 4, Problem 13P
a)
To determine
Effect of natural disasters in the shift of labor demand and labor supply.
b)
To determine
Explain the given statement.
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Students have asked these similar questions
1. Using the Input-Output table below, answer the following questions:
a) Find the matrix A of technical coefficients and the row vector 1 of labor coefficients for the
system.
b) Assume that an exogenous shock decreases final demand for services goods by 125. Find the
new vector of total output X and the new vector of labor inputs L.
Manufacturing Services Final Demand
Manufacturing
Services
Labor
Total
10
30
60
100
40
25
75
140
50
85
Total
Output
100
140
240
Economics
protect the unit sales for tide 64 based on the log Lennar demand model and the following chart.
Figure 2 represents the Texas labor market. In this simplified model, labor and capital are the only factors of production. The initial supply of labor is denoted by S0 and consists entirely of U.S. workers. The demand for labor is denoted by D. Quantity of workers are in thousands and the wage rate is for a 40-hour workweek.
(a) At labor market equilibrium, what is total weekly labor income?
(b) At labor market equilibrium, what is the weekly income earned by U.S. capital owners? (Note: the capital owners are on the demand side – the demand curve reflects their demand for labor -- so the consumer surplus is the capital owner’s income.)
Mexican labor migration yields a new labor supply curve, S1, which is the combination of domestic labor supply and Mexican labor. Given this:
(c) What is total weekly labor income?(d) What is the weekly income earned by U.S. capital owners?
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