Economics of Enterprise Answers

Qd=200-1/2×4910+1/4×5900-5×90+1/5×55000

11. Suppose the information about labors. The product price is $10 per unit.

Wage rate 30 60 90 120 150 180 210 240
Units of labor 0 1 2 3 4 5 6 7
Total Product 0 17 31 43 53 60 65 68

a. Draw the firm’s labour supply and marginal resource cost curves. Are the curves the same or different? If they are different, which one is higher? b. On the same graph, plot the labour demand data of derived from the table above. What are the equilibrium wage rate and level of employment? c. Compare these answers with those you found in problem 10. By how much does this firm reduce wages below the competitive wage? By how much does this firm reduce employment below the competitive level?

13. Graphically explain each of the following cases that (1) a typical monopoly firm is making a positive economic profit (2) a typical monopoly firm is making a zero economic profit (3) a typical monopoly firm is making a negative economic profit

Suppose the information about labors. The product price is $10 per unit and wage rate is $60 per labor unit.

Units of labor 0 1 2 3 4 5 6 7
Total Product 0 17 31 43 53 60 65 68

a. Derive the schedules for labor demand and real labor demand from the information above. Graphically show both. b. Show graphically the labour supply and marginal factor (labour) cost curves for this firm. Are the curves the same or different? If they are different, which one is higher? c. Plot the labour demand data on the graph derived in (b). What are the equilibrium wage rate and level of employment?

Unions can affect the wage and employment of non-union sectors in various ways. Discuss the wages and employments for union sector and non-union sector with the following situations. a. Union wage rate is higher than an ordinary market equilibrium wage rate. And labours who fail to get a position in the union sector will move to non-union sector. b. Union wage rate is higher than an ordinary market equilibrium wage rate. And labours who fail to get a position in the union sector will stay on the union sector to find a job since union wage is higher than the rate of non-union sector. c. Union wage rate is higher than an ordinary market equilibrium wage rate. And labours who fail to get a position in the union sector will move to the non-union sector. The non-union sector has two groups. Group one is able to organize unions and threatens to organize unions if wages are not increased. Group Two is not able to organize unions.

Since Great Depression, Canada experienced double-digit unemployment rates several times. Explain the Canadian experiences of double-digit rate of unemployment. Why unemployment was so high for those periods?

Describe wage determination in a labor market in which workers are unorganized and many firms actively compete for the services of labor. Show this situation graphically, using W1 to indicate the equilibrium wage rate and Q1 to show the number of workers hired by the firms as a group. Show the labor supply curve of the individual firm and compare it with that of the total market. Why are there differences? In the diagram representing the firm, identify total revenue, total wage cost, and revenue available for the payment of non labour resources.

Assume a monopsonistic employer is paying a wage rate of Wm and hiring Qm workers. Now suppose an industrial union is formed that forces the employer to accept a wage rate of Wc. Explain verbally and graphically why in this instance the higher wage rate will be accompanied by an increase in the number of workers hired.

go to the company's web site(www.starbucks.com) and find the list of the seniors.Pick one of those position and descroobe what you think that job might involve

suppose that steak is a normal good.In each case below identify the effect on the demand curve for steak and draw a well labelled diagram to illustrate the effect.
1. An increase in the price of lamb