Exam 12: The Markets for Labour and Other Factors of Production

If a stock's dividend is expected to grow at a constant rate of 6 per cent in the future and it has just paid a dividend of $3.00 per share,and you have an alternative investment of equal risk that will earn a 9 per cent rate of return,what would you be willing to pay per share for this stock?

An increase in the supply of capital,which is a complement to labour,will lead to

Demand in factor markets differs from demand in product markets in that

Francis Crawford recently received a 20 per cent wage increase and desires to work less.We can conclude that at his current wage,his supply of labour curve

If you were to ask your employer for a raise,which of the following would be your most effective argument?

The signaling hypothesis of education states that education is a costly activity that enhances a worker's productivity.

Some superstar athletes in the sports industry earn very high levels of income relative to other occupations,and over time the wage differential has been increasing.What could have caused this?

Figure 12-3 -Refer to Figure 12-3.Which of the following statements is true?

Which of the following economists is best known for exploring the application of economic analysis to human resources issues?

If you want to know the present value of $10 000 received in one year,and the interest rate is 4 per cent,what formula can you use?

What is the present value of $575 in a one year if the current rate of interest is 4 per cent?

What is the present value of $888 in a one year if the current rate of interest is five per cent?

What happens to the equilibrium wage and quantity of labour if output price rises?

The labour market is considered as one of the more important markets in an economy because

Table 12-1 -Refer to Table 12-1.If the output price is $3,what is the marginal revenue product of the fifth unit of labour?

Which of the following is operating income?

Roderick received a $100 savings bond for his graduation.The bond pays $100 at maturity,which is in five years.If the interest rate is 6%,the bond has a present value of $90.09.

Net worth and stockholders' equity are both equal to the difference between assets and liabilities.

The equilibrium wage and quantity of labour in the market for skilled workers is determined by

Increases in population shift the market supply curve for labour to the right.