QUESTION ONE (a) The table below shows the average monthly salary in Kenya Shillings and the respective consumer price index: Year Monthly Salary Consumer Price Index (CPI) Index 2005 20000 150 85.7 2006 21500 175 100 2007 22700 205 117 2008 23500 215 122 (i) Calculate real income and explain whether or not the material welfare of the individual improved over the five years. Calculate the deflated average salary after changing the base year from 2006 to 2008. (b) Giving examples, differentiate between open ended questions and closed ended questions. (c) Explain what is involved in piloting of a questionnaire.
Q: Suppose the Federal Reserve increases the amount of reserves by $100 million and the total money…
A:
Q: 6. Given the pay-off matrix that shows the annual profits for alternative pricing decisions faced by…
A: * SOLUTION :- Given that , As per guidelines I answered first 3 subparts please repost other…
Q: Anya is currently consuming $1000 worth of consumption goods C and spending 30 hours in leisure L…
A: The indifference curve shows the combination of two goods that gives the same level of satisfaction.…
Q: Based on a study, the Lorenz curves for the distribution of incomes for bankers and actuaries are…
A: Given information Lorenz Curve function for Bankers: f(x)=110x+910x2 Lorenz Curve function for…
Q: Goods and services are scarce because resources are scarce. Select one: O a. True O b. False
A: Scarcity is the primary concept or reason to study economics as it is the cause of making trade-off…
Q: Suppose the demand for oil is P=136Q-0.20. There are two oil producers who do not cooperate.
A: Given inverse demand: P= 136*Q-0.2 or P = 136/Q0.2 A cartel is like a monopoly and thus the optimal…
Q: Question 53: Given that a duopoly's inverse market demand curve is P = 120-Q which is shared by two…
A: Hi! Thank you for the question, As per the honor code, we are allowed to answer three sub-parts at a…
Q: Suppose that a small country has a production possibility frontier (with two goods X and Y)…
A:
Q: In Third World agriculture, Productivity is low because of ________. a. lack of complementary…
A: Production means the higher output which produces goods and services in an economy. It means the…
Q: Let the inverse demand function and the cost function be given by P = 50 − 2Q and C = 10 + 2q…
A: Introduction We have given uniform pricing monopoly. Inverse demand function: P = 50 - 2Q Multiply…
Q: Look for the definition of the following terms: 1. perfect competition 2. product homogeneity 3.…
A: All the definitions are given below
Q: 2. Jeth paid a 10% down payment of P269,000 for a house and lot, and agreed to pay the balance of…
A: Monthly Amount = r * Total amount ÷ [1 - (1 + r)-n]
Q: 5. What is player 3's knowledge of player 1's choice: 1 A 113 1 L 1 3 RL 000 R 113 3 L RL R 2 1 1 2…
A: Here, the given payoff tree explains a game with three players where player 1 performs A or B,…
Q: Suppose that the quantity demanded of good X rises from 90 units to 110 units when its orice talls…
A: Quantity Price 90 120 110 100
Q: The police want to discourage drunk driving. You can drink wine or cola at your friend’s party. But…
A: Given , Two Players : You and Police You have two strategies : Drink Wine and Drink Cola Police has…
Q: Myra buys an iPhone for $280 and gets consumer surplus of $120. (a) What is her willingness to pay?…
A: Answer to the question is as follows;
Q: In perfect competition, all buyers and sellers : Select one: a. None of the above O b. Take the…
A: As the two questions are different answer is provided to the first question. "Perfect competitive…
Q: If all firms in an oligopolistic market have similar pricing decisions (all charging high prices or…
A: Oligopoly firm: It refers to the firms that are unable to take charge of the price if they play…
Q: Price $15.00 10.00 7.50 5.00 MR 0 55 80 105 Consumer surplus at the profit-maximizing price and…
A: Here, the given graph shows the cost and revenue curve of an imperfectly competitive market.
Q: S left a skillet of hot oil on the stove, which torched the kitchen cabinets. In insurance, the fire…
A: Insurance is a contract in which a person or an entity receives financial protection or compensation…
Q: Describe the bank capital requirements, leverage ratio requirement and liquidity requirements under…
A: Have you ever been curious about what Basel III means? Here is a complete guide to help you…
Q: We would expect falling nominal GDP if O net exports increased. Othere is disinflation. O production…
A: Nominal GDP is the sum total of goods and services produced in a country in an accounting year.…
Q: 3. Suppose that you are considering raising the price of coca-cola. What factors would you want to…
A: Substitute goods are those goods which help the consumers in satisfying the same type of wants.…
Q: Please explain the characteristics of all imperfect market structures and provide an example for…
A: In financial matters, defective contest alludes to a circumstance where the qualities of a…
Q: Briefly answer. 17. What is Immiserizing growth seldom experienced in the real world? Growth? Why is…
A: 17. Immiserizing growth is a long-term phenomena in which a country's gain in social welfare as a…
Q: Based on a study, the Lorenz curves for the distribution of incomes for bankers and actuaries are…
A: Introduction Lorenz function of bankers has given. Lorenz curve of functions f(x): f(x) = 110x + 910…
Q: CHOICES: a. Both statements are TRUE b. 1st statement is TRUE, 2nd is FALSE c. Both statements are…
A: The agriculture sector is considered as the driver of economic growth in most of the developed and…
Q: The minimum wage is often offered as a possible way to address the income gap. There is, however, a…
A: Minimum wage is the lowest wage below which an employee cannot hire workers.
Q: 7 Chapter Subject: Monopoly Should Amazon be regulated by the U.S. Government? Explain.
A: Monopoly A monopoly is a form of the market where there is a large number of Buyers and only a…
Q: 1. Consumers perceive coffee and tea as substitutes.How would a decrease in the supply of coffee…
A: Decrease in the supply of coffee will result in increase in demand for tea . As tea and coffee are…
Q: Labour-saving technical progress means O that marginal productivity of capital increases. that…
A: Technical progress either be labor-saving or capital saving. Technical progress is capital saving is…
Q: please answer letter h. thanks!
A:
Q: How significant the relationship of migrant workers and income inequality
A: Inequality means the unequal distribution of resources between groups of members. The people are…
Q: In developing countries, ________ is a major cause of environmental degradation. a. rapid…
A: Meaning of Economic Development: the term economic development refers to the situation under which…
Q: Contracting company plans to update its equipment so that its trucks are replaced after five years…
A: Compound Interest When you earn interest on the principal amount of an investment, it is added back…
Q: Suppose employment and wages are determined by an implicit contract specifying a fixed wage at which…
A: When talking about implicit contract, it is the contract between the parties when all the parties…
Q: Suppose that in a closed economy in which l = Y with Y,=5000,C=500+0.5(Y* T) and T-1000 the…
A: The Medium Run is a 12-year period during which the capital stock gradually adapts to bring the…
Q: Suppose that the production function is Y = 10 ( K )^1/4 ( L )^3/4 and capital lasts for an average…
A: Introduction We have given a production function and capital last for average of 50 years. a)…
Q: "We've long believed that when the rate of change inside an institution becomes slower than the rate…
A: Jack Welch has attained legendary status in the business world and is primarily acknowledged by his…
Q: The 3471 people residing in the state of Oz want their yellow brick road repaved. It could be…
A: Given the following information: Oz population = 3471Nations population = 4996645Cost of standard…
Q: A decrease in the price level accompanied by no change in the money wage rate leads to movement…
A: The short-run aggregate supply (SRAS) curve depicts the positive relationship between price and…
Q: 1. According to the law of diminishing marginal utility, which of the following choices is true?…
A: The law of diminishing marginal utility is used to explain the nature of the consumer satisfaction…
Q: Q2: A company plans to update its equipment so that its trucks are replaced after ten years from…
A: Compound interest, also known as Interest on Interest, is interest that is added to the interest…
Q: Changes in the general economy, like changes in interest rates or tax laws, represent what type of…
A: There are a number of economic instruments to pick from whilst making an investment withinside the…
Q: As the price elasticity of demand increases, what happens to the slope of the linear demand curve?…
A: The price elasticity of demand refers to the sensitivity of consumer's quantity demanded of a…
Q: Select ONE major political issue (pandemic, trade, environment, or international relations) and…
A: Partisans in politics or the military are entirely dedicated to their cause. This expression…
Q: 1. A firm is currently charging a price of $150 and is considering a price change. They currently…
A: The demand curve shows the inverse relationship between price and quantity demanded. The demand…
Q: 7. Firm ABC decides to hire workers for a newly established factory with a fixed amount of…
A: The production function shows the relationship between inputs and output. The production function…
Q: Compare any two of the Foreign Exchange Market (b) Discuss at least two factors that businesses…
A: DISCLAIMER “Since you have asked multiple question, we will solve the first question for you. If…
Q: Consider the case of the following large country (all prices are measured in euros, and quantities…
A:
Step by step
Solved in 3 steps
- 16 The weekly salary of sales staff of a department store are shown below. "f" is the frequency or the number of staff members earning the stated salary (x). Salary Frequency x f $590 7 680 6 940 29 980 10 1540 2 1880 1 The mean weekly salary is _______. a $868 b $913 c $961 d $1,012John works for a government agency in California making $70,000 per year. He is being transferred to a branch office in Tennessee. The salary reduction associated with transfer is 11%. The Cost of Living Index (similar to consumer price index or equipment price index) in California is 132 whereas the Cost of Living Index in Tennessee is 95. a. How much extra income does John made as a result of the reduced Cost of Living? b. What is the adjusted salary of John based on the Cost of Living?The following figure shows the relationship between employment and monthly salary in the periods 1968 to 1984. Copytight o Moraw Educaton. Permsson required for reproduction or dispiay. Employment Monthly Salary ($) 250,000 4,500 230,000 4,000 210,000 190,000 3,500 170,000 150,000 3,000 130,000 2,500 110,000 Wage 90,000 2,000 70,000 Employment 50,000 1,500 1968 1970 1972 1974 1976 1978 1980 1982 1984 Using the labour supply - labour demand model, how can you rationalize the comovement between employment and wage in the period 1968-1976 The labour demand curve shifts to the left There is no way to rationalize the data The labour demand curve shifts to the right The labour supply curve shifts to the right The labour supply curve shifts to the left
- Trish earned a salary of $60,000 in 2002 and $80,000 in 2006. The consumer price index was 177 in 2002 and 221.25 in 2006. Trish's 2002 salary in 2006 dollars is $75,000; thus, Trish's purchasing power increased between 2002 and 2006. O $75,000; thus, Trish's purchasing power decreased between 2002 and 2006. $85,000; thus, Trish's purchasing power increased between 2002 and 2006. $85,000; thus, Trish's purchasing power decreased between 2002 and 2006.The Economics of the Welfare State — End of Chapter Problem Median incomeMean incomeYear(in 2018 dollars)1972$40,102$46,481201841,61561,180 The accompanying table presents data from the U.S. Census Bureau on median and mean income of male workers for the years 1972 and 2018. The income figures are adjusted to eliminate the effect of inflation. a. By what percentage has median income changed over this period? By what percentage has mean income changed over this period? Round answers to one place after the decimal when necessary. Median income changed by _________%. Mean income changed by _______%. b. Between 1972 and 2018, has the income distribution become less or more unequal? Explain. Since median income has risen slightly, but mean income has grown significantly, this means that most of the growth in incomes has been (at the top OR at the bottom OR evenly distributed) the income distribution. Thus, the income distribution has become more (equal OR unequal) from 1972 to 2018.Use the graph to answer the following question. Median Annual Earnings of Full-Time, Year-Round Workers Ages 25-34, by Educational Attainment: 2019 Delars S0.000 0.000 S70.000 70.000 S50,700 60.000 $55,700 S0.000 $44700 S31,700 $40.000 40,000 S35.000 $29,300 30.000 20.000 10.000 Some college, no degree Assodale's degree Bachelor degree Masters or higher degree Al educational Less than High school completion Total ettainment levels high school completion Bachelor's or higher degree Educational atainmest Which of the following statements is supported by the information in the graph? O A. High school graduates earn an average income. B. Investing in education leads to a higher standard of living. O. C. Education has little impact on the earnings of workers. O D. The costs of post-secondary education are greater than the benefits. 7 8 9. 4. W e m b n alt
- What is the level of income associated with full employment? A) 20 B) 25 C) 30Given the information in the table, what is the labor force participation rate? Catagory Less than 16 years old Full-time workers Full-time military Part-time workers A. 74.7% OB. 74.3% OC. 63.1% OD. 69.2% Institutionalized Looking for work Retired Number of people (millions) 40 135 1.2 20 14.8 11.5 41.52. Graphing demand for labor and computing the optimal quantity of labor demanded A company operates in a competitive market, selling each unit of output for a price of $20 and paying the market wage of $330 per day for each worker it hires. In the following table, complete the column for the value of the marginal product of labor (VMPL) at each quantity of workers. Labor Output Marginal Product of Labor Value of the Marginal Product of Labor (Number of workers) (Units of output) (Units of output) (Dollars) 20 1. 20 19 2 39 18 57 15 72 12 84 On the following graph, use the blue points (circle symbol) to plot the firm s labor demand curve. Then, use the orange line (square symbols) to show the wage rate. (Note: If you cannot place the wage rate at the level you want, move the two end points individually.) Hint: Remember to plot each point halfway between the two integers. For example, when the number of workers increases from 0 to 1, the value of the marginal product for the first…
- Wage Rate ($) 44 40 36 32 222 28 24 20 16 12 8 4 The Market for Labor 0123 4 5 6 7 Quantity of Labor 8 MRP 9 MRC 'S 10 11A. List the six factors that can explain a variance in earnings. Select ONE factor and list two reasons why this you believe this factor has the most influence in wage differences.Figure 15: Returns to HE for men in work by subject and age Business Economics Engineering Communications Creative Arts Law Medicine English Age 30 Age 50 95% Cls Age 40 Age 60 It shows the returns to getting a degree in different subjects relative to the average wage of men who did A-levels but did not go to university. The new Minister of Universities has some ideas. She suggests: (a) Charging people who who get a 60% wage premium (eg women doing Economics) higher tuition fees (b) Charging people who get less than a 40% premium higher tuition fees (c) Charging everyone higher tuition fees. Evaluate each of these proposals in light of the competitive labour market model (holding labour demand constant). Do you think the proposal is a good idea? Why or why not? What will the effect be on the supply of different types of labour (eg non-graduates, female economists) resulting from each and thus on the wages people receive. Earnings Difference in Percent O 20 40 60 80 100120140