Suppose that wages in the automobile industry increase. The labor supply curve for other types of...

Suppose that wages in the automobile industry increase. The labor supply curve for other types of manufacturing jobs should shift ____ and the number of workers available at any given wage rate will _____. right; decrease left; increase left; decrease right; increase

Solutions

Expert Solution

Suppose that wages in the automobile industry increases. The labor supply curve for other types of manufacturing jobs should shift "left" and the number of workers available at any given wage rate will "decrease".

To reach the equilibrium in the market the wages in other market will also have to increase.

Rahul Sunny answered 1 year ago

Next > < Previous

Related Solutions

1. The individual labor supply curve will be negatively sloped if the substitution effect of wages...

1. The individual labor supply curve will be negatively sloped if the substitution effect of wages is: Group of answer choices a) Weaker than the income effect of wages. b) Equal to the income effect of wages. c) Stronger than the income effect of wages. d) Negative. 2. Ceteris paribus, if immigration to the United States increases the number of workers, the market labor-supply curve will shift to the: Group of answer choices a) Right and the equilibrium wage rate...

explain how a backwards bending labor supply curve affects the incidence of a tax on wages

Wages is determined by the supply of and demand for the labor in the labor market...

Wages is determined by the supply of and demand for the labor in the labor market under normal competitive conditions and by the number of people looking for job and the number of companies looking for employees. In addition, wage levels are shaped by the skill sets workers bring and employers need, as well as the location of the jobs being offered. When workers sell their labor, the price they can charge is influenced by several factors on the supply...

Suppose the supply curve for life guards is Ls = 40. (Perfectly inelastic labor supply.)

Suppose the supply curve for life guards is Ls = 40. (Perfectly inelastic labor supply.) Suppose the demand curve for lifeguards is LD = 100 – 20W, where L is the number of lifeguards and W is the hourly wage. Graph the supply and demand curves together. Find the equilibrium wage and employment level. Suppose the government imposes a $1 tax per hour per lifeguard on beaches employing lifeguards. Find the new wage the beach pays, the wage the lifeguard...

1. What does your own labor supply curve look like? As the rate of your wages...

1. What does your own labor supply curve look like? As the rate of your wages changes, what factors affect your willingness to work? What is a backward bending supply curve of labor? Do you think that it probably does exist in the real world? If so, why?

The market supply curve for labor is upward sloping and the market demand curve for labor...

The market supply curve for labor is upward sloping and the market demand curve for labor is downward sloping yet for a single firm the demand curve is flat. Explain. I really dont need the answer, but if someone could explain what this is asking. I get that the market supply curve slopes upward and the demand curve slopes downward, but what exactly is the question getting at when it says a single firm is flat. Is it referring to...

Inverse Labor Supply is w=5L. The Inverse Labor Demand curve is w=100-20L Suppose there is a...

Inverse Labor Supply is w=5L. The Inverse Labor Demand curve is w=100-20L Suppose there is a negative production externality that costs society $50 per unit of labor hired. 1. what is the social marginal benefit curve now, and why is it not the same as labor demand curve? 2. what is the socially optimal level of employment 3. what is the dead-weight loss associated w/ CME? 4. what is the dead-weight loss associated w/ the monopsony? 5. is the monopsony...

A monopsonist has a labor supply curve of =10+L and marginal product of labor curve of...

A monopsonist has a labor supply curve of =10+L and marginal product of labor curve of 20-L. If the price is set to 8, what is the wage the monopsonist has to pay?

Draw a steep labor supply curve and a less steep labor demand curve on a set...

Draw a steep labor supply curve and a less steep labor demand curve on a set of axes. Now suppose demand decreases. Label the old and new equilibria. Draw a cobwebbing path to show how wages and quantities of labor evolved to get from the old equilibrium to the new equilibrium.

State whether the labor supply curve, labor demand curve or neither of the two will shift...

State whether the labor supply curve, labor demand curve or neither of the two will shift in the current scenario when the government has mandated workplace closures. If there is a shift, is the shift to the left or to the right? Illustrate your answer with a figure and show what happens to the full-employment level of employment following the shifts, if any. Label the axes and curves clearly

Subjects