Business, 22.05.2020 23:01 sirdre1982

Suppose that a U. S. worker can produce 1,000 pairs of shoes or 10 industrial robots per year. For simplicity, assume there are no costs other than labor costs and firms earn zero profits. Initially, the U. S. economy is closed. The domestic price of shoes is $30 a pair, so that a U. S. worker can earn $30,000 annually by working in the shoe industry. The domestic price of a robot is $3,000, so that a U. S. worker can also earn $30,000 annually working in the robot industry. Now suppose that the U. S. opens trade with the rest of the world. Foreign workers can produce 500 pairs of shoes or 1 robot per year. The world price of shoes after the U. S. opens its markets is $10 a pair, and the world price of robots is $5,000.

What do foreign workers earn annually, in dollars?

Answers: 2

Show answers

Another question on Business

Business, 21.06.2019 18:30

Which of the following accurately describes one way that individual goods differ from public goods? a. people can be excluded from using individual goods if they don't pay. b. all individual goods are normal goods. c. demand for individual goods is always inelastic. d. consumer rivalry results in decreasing marginal utility for individual goods.2b2t

Answers: 3

Answer

Business, 22.06.2019 14:20

In canada, the reference base period for the cpi is 2002. by 2012, prices had risen by 21.6 percent since the base period. the inflation rate in canada in 2013 was 1.1 percent. calculate the cpi in canada in 2013. hint: use the information that “prices had risen by 21.6 percent since the base period” to find the cpi in 2012. use the inflation rate formula (inflation is the growth rate of the cpi) to find cpi in 2013, knowing the cpi in 2012 and the inflation rate. the cpi in canada in 2013 is round up your answer to the first decimal. 122.9 130.7 119.6 110.5

Answers: 1

Answer

Business, 22.06.2019 20:30

You are in the market for a new refrigerator for your company’s lounge, and you have narrowed the search down to two models. the energy efficient model sells for $700 and will save you $45 at the end of each of the next five years in electricity costs. the standard model has features similar to the energy efficient model but provides no future saving in electricity costs. it is priced at only $500. assuming your opportunity cost of funds is 6 percent, which refrigerator should you purchase

Answers: 3

Answer

Business, 23.06.2019 02:30

Is will able to claim r.j. as a qualifying child for the earned income credit (eic)?

Answers: 1

Answer

You know the right answer?

Suppose that a U. S. worker can produce 1,000 pairs of shoes or 10 industrial robots per year. For s...

Questions