Gino's Pizza shop hires workers in a competitive market to make pizza. The ingredients required to make each pizza cost $5. Daily output at Gino's Pizza varies with the number of workers hired, as shown in the table: \[\begin{array} { | c | c | } \hline \text { Number di warkers } & \text { Pizfas/day } \\ \hline 0 & 0 \\ \hline 1 & 16 \\ \hline 2 & 36 \\ \hline 3 & 54 \\ \hline 4 & 70 \\ \hline 5 & 84 \\ \hline 6 & 96 \\ \hline \end{array}\] The marginal product of the 3rd worker is ________ pizzas per day.

A) 12 B) 14 C) 16 D) 18 A) 12 B) 14 C) 16 D) 18

Suppose the MC Hammer Company produces hammers. The number of hammers it can produce each hour depends on the number of workers it hires, as shown in the accompanying table. In addition, each hammer can be sold for $2 more than the cost of the materials needed to produce it. \[\begin{array} { | c | c | } \hline \text { Number of warkers per hour } & \text { Number of humers per haur } \\ \hline 0 & 0 \\ \hline 1 & 20 \\ \hline 2 & 36 \\ \hline 3 & 48 \\ \hline 4 & 56 \\ \hline 5 & 60 \\ \hline \end{array}\] If the hourly wage for people who make hammers is $17 per hour, then how many workers should the MC Hammer Company hire each hour?

A) 1 B) 2 C) 3 D) 4 A) 1 B) 2 C) 3 D) 4

Exam 13: Labor Markets, Poverty, and Income Distribution

Gino's Pizza shop hires workers in a competitive market to make pizza. The ingredients required to make each pizza cost $5. Daily output at Gino's Pizza varies with the number of workers hired, as shown in the table: Number di warkers Pizfas/day 0 0 1 16 2 36 3 54 4 70 5 84 6 96 The marginal product of the 3rd worker is ________ pizzas per day.

(Multiple Choice)

4.7/5

(74)

Question 61

The level of income below which the federal government classifies a family as poor is called the:

(Multiple Choice)

4.9/5

(75)

Question 62

Consider the accompanying figure representing the labor market below. If a minimum wage of $12 per hour is imposed in this labor market then worker surplus will and employer surplus will .

(Multiple Choice)

5.0/5

(91)

Question 63

Assume that this graph illustrates a perfectly competitive labor market. If the supply of person-hours in this market shifts to the right, then the equilibrium wage will and the equilibrium number of person-hours will .

(Multiple Choice)

4.9/5

(77)

Question 64

Leo is a welfare recipient who qualifies for two means-tested cash benefit programs. If he does not earn any income, he receives $225 from each program. For each dollar he earns (which his employer is required to report to the welfare agency), his benefit from each program is reduced by 75 cents until the benefit equals zero. If Leo earns $150, then he will receive ________ in total benefits from the two programs.

(Multiple Choice)

4.8/5

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Question 65

A decrease in demand for a firm's output results in a(n):

(Multiple Choice)

4.9/5

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Question 66

The general rule governing the hiring of workers is to:

(Multiple Choice)

4.9/5

(86)

Question 67

Matt is offered a job driving the campus shuttle bus from 4 p.m. to 6 p.m. each Monday. His reservation wage for this job is $7 per hour. Now suppose the director offers Matt $50 per hour, but also announces that the earnings from the job will be divided equally among Matt and four other students. Will Matt accept this job?

(Multiple Choice)

4.8/5

(67)

Question 68

The earned income tax credit (or EITC):

(Multiple Choice)

4.8/5

(75)

Question 69

Leo is a welfare recipient who qualifies for two means-tested cash benefit programs. If he does not earn any income, he receives $225 from each program. For each dollar he earns (which his employer is required to report to the welfare agency), his benefit from each program is reduced by 75 cents until the benefit equals zero. When Leo's earnings are less than $300, each extra dollar he earns causes his total income (earnings plus benefits)to:

(Multiple Choice)

4.9/5

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Question 70

Differences in wage rates associated with differences in working conditions are called:

(Multiple Choice)

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Question 71

A reduction in workers' marginal productivity would result in:

(Multiple Choice)

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Question 72

Males major in engineering much more frequently than females. Starting salaries for engineers (male or female)are much higher than average. As a result, the observed gender wage gap for all college graduates will be than the gender wage gaps in specific majors because .

(Multiple Choice)

4.7/5

(91)

Question 73

Imposing a minimum wage above the equilibrium wage:

(Multiple Choice)

4.9/5

(85)

Question 74

Jen is offered a job answering the phone in the State U economics department during lunchtime, from noon to 1 p.m., Tuesdays and Thursdays. Her reservation wage for this job is $15 per hour. If the department chair offers Jen $150 per week, will Jen accept this job?

(Multiple Choice)

4.9/5

(69)

Question 75

Food stamps and Medicaid are examples of:

(Multiple Choice)

4.7/5

(83)

Question 76

A minimum wage law prohibits employers from paying workers less than a specified hourly wage. If the minimum wage is above the equilibrium wage:

(Multiple Choice)

4.9/5

(82)

Question 77

Suppose the MC Hammer Company produces hammers. The number of hammers it can produce each hour depends on the number of workers it hires, as shown in the accompanying table. In addition, each hammer can be sold for $2 more than the cost of the materials needed to produce it. Number of warkers per hour Number of humers per haur 0 0 1 20 2 36 3 48 4 56 5 60 If the hourly wage for people who make hammers is $17 per hour, then how many workers should the MC Hammer Company hire each hour?

(Multiple Choice)

4.9/5

(73)

Question 78

Suppose that this graph describes the current labor market for high school teachers: Given an initial wage of w*, then immediately following a decrease in supply:

(Multiple Choice)

4.9/5

(74)

Question 79

Union membership in the United States probably an important explanation for why workers with similar qualifications earn different incomes because union membership rates are relatively .

(Multiple Choice)

4.7/5

(80)

Question 80

Showing 61 - 80 of 138

Exam 13: Labor Markets, Poverty, and Income Distribution

The level of income below which the federal government classifies a family as poor is called the:

Consider the accompanying figure representing the labor market below. If a minimum wage of $12 per hour is imposed in this labor market then worker surplus will ________ and employer surplus will ________.

Assume that this graph illustrates a perfectly competitive labor market. If the supply of person-hours in this market shifts to the right, then the equilibrium wage will ________ and the equilibrium number of person-hours will ________.

A decrease in demand for a firm's output results in a(n):

The general rule governing the hiring of workers is to:

The earned income tax credit (or EITC):

Differences in wage rates associated with differences in working conditions are called:

A reduction in workers' marginal productivity would result in:

Males major in engineering much more frequently than females. Starting salaries for engineers (male or female)are much higher than average. As a result, the observed gender wage gap for all college graduates will be ________ than the gender wage gaps in specific majors because ________.

Imposing a minimum wage above the equilibrium wage:

Jen is offered a job answering the phone in the State U economics department during lunchtime, from noon to 1 p.m., Tuesdays and Thursdays. Her reservation wage for this job is $15 per hour. If the department chair offers Jen $150 per week, will Jen accept this job?

Food stamps and Medicaid are examples of:

A minimum wage law prohibits employers from paying workers less than a specified hourly wage. If the minimum wage is above the equilibrium wage:

Suppose that this graph describes the current labor market for high school teachers: Given an initial wage of w*, then immediately following a decrease in supply:

Union membership in the United States probably ________ an important explanation for why workers with similar qualifications earn different incomes because union membership rates are relatively ________.

Thinking Like an Economist

Comparative Advantage

Supply and Demand

Elasticity

Demand

Perfectly Competitive Supply

Efficiency, Exchange, and the Invisible Hand in Action

Monopoly, Oligopoly, and Monopolistic Competition

Games and Strategic Behavior

An Introduction to Behavioral Economics

Externalities, Property Rights, and the Environment

The Economics of Information

Public Goods and Tax Policy

International Trade and Trade Policy

Macroeconomics: The Birds Eye View of the Economy

Measuring Economic Activity: GDP and Unemployment

Measuring the Price Level and Inflation

Economic Growth, Productivity, and Living Standards

The Labor Market: Workers, Wages, and Unemployment

Saving and Capital Formation

Money Prices and the Federal Reserve

Financial Markets and International Capital Flows

Short-Term Economic Fluctuations: An Introduction

Spending and Output in the Short Run

Stabilizing the Economy: The Role of the Fed

Aggregate Demand, Aggregate Supply, and Inflation

Exchange Rates and the Open Economy

Filters

Consider the accompanying figure representing the labor market below. If a minimum wage of $12 per hour is imposed in this labor market then worker surplus will and employer surplus will .

Assume that this graph illustrates a perfectly competitive labor market. If the supply of person-hours in this market shifts to the right, then the equilibrium wage will and the equilibrium number of person-hours will .

Males major in engineering much more frequently than females. Starting salaries for engineers (male or female)are much higher than average. As a result, the observed gender wage gap for all college graduates will be than the gender wage gaps in specific majors because .

Union membership in the United States probably an important explanation for why workers with similar qualifications earn different incomes because union membership rates are relatively .