Multiple Choice
The distribution of skills is the same in Low Rock as it is in High Rock.The return to each unit of skill is the same in Low Rock, regardless of how much skill one has.The returns to skill in High Rock, however, depend on one's skill level.Workers at the low end of the skill distribution in High Rock receive very little return on their skills (less than they would receive in Low Rock) , while workers at the high end of the skill distribution in High Rock receive a very high return on their skills (more than they would receive in Low Rock) .Assuming that people are free to migrate from Low Rock to High Rock but not the other way around, the Roy model predicts which of the following outcomes?
A) The average skill level in Low Rock will increase, while the average skill level in High Rock will decrease.
B) The average skill level in Low Rock will decrease, while the average skill level in High Rock will increase.
C) The average skill level in Low Rock will remain unchanged, but the average skill level in High Rock will increase.
D) The average skill level will increase in both locations.
E) The average skill level will decrease in both locations.
Correct Answer:
Verified
Correct Answer:
Verified
Q1: If the supply of unskilled domestic labor
Q5: If the supply of unskilled domestic labor
Q8: Which of the following regarding internal migration
Q12: Which of the following is true?<br>A) A
Q14: Specific job training<br>A)allows for more inter-industry job
Q18: Which of the following statements about self-selection
Q19: If a two-person household moves from Miami
Q21: Which of the following statements is associated
Q26: The Roy model concerns<br>A) the skill-selection associated
Q28: Which statement is true?<br>A)The rate of job