Exam 5: Frictions in the Labor Market

Approximately what percentage of male skilled craft workers and technicians work regularly scheduled overtime? Given the overtime pay premium,why would an employer have workers work regularly scheduled overtime rather than simply hire more workers and thus avoid the overtime pay premium?

Workers that are least susceptible to layoffs during a recession are ________ and those with ________.

When a firm hires a fourth worker,its wage rate goes from $80 a worker to $90.The marginal revenue product of the fourth worker is $100.If the firm hires the fourth worker,its profits

Members of certain groups have the right to sue employers if discriminated against.Other things the same,then according to the model of quasi-fixed costs,this right will tend to

If a firm offers specific training to its workers,when the training is over,

During a recession,average labor productivity tends to decrease because output falls and

Most colleges pay teachers different salaries in different fields.For example,they usually pay science teachers more than English teachers.Public schools pay teachers in different fields the same.As a result,in public schools,if they want to get better science teachers,they have to raise everyone's wage.Which of the following is a consequence of paying teachers different salaries,as they do in colleges?

A firm is currently employing 10 workers.To hire an 11th worker,it must raise its weekly pay by $5 and pay the 11th worker $100.What is the marginal expense of the hiring the 11th worker?

The use of an internal labor market implies that

"An employer will not invest in general training for its employees." Agree or disagree with the statement and justify your response.

Workers with firm-specific training are ________ likely to be laid off than are workers with general training because ________.

Two employers pay a wage of $10 an hour.Employer A is a monopsony while Employer B hires in a competitive labor market.Both firms sell their output in competitive markets.Which of the following will be true?

A monopsony can hire one worker at a wage of $5,two workers at a wage of $6 each,three workers at $7 each,and so on (each added worker adding one dollar to the wage rate).If the marginal revenue product for all workers is $16,what wage will it pay?

A reserve clause binds a professional athlete to a sports franchise even if the player does not have a contract with the team that retains the rights to the player.In other words,the player can only play for a single team and other teams may not bid for the player's services even in the absence of a contract.Major League Baseball was forced to outlaw reserve clauses in 1975.As a result of the ban,we would expect that

Is an employer's unemployment insurance payroll-tax liability a quasi-fixed cost of employment? Why or why not?

Two employers,A and B,pay the same wage but Employer A faces a more inelastic supply curve of labor than Employer B.Both firms are monopsonies but have similar outputs and technologies.Other things being the same,then in the long run

Training costs

What is the overtime pay premium? Discuss its origin and who it covers.

Legislation requiring employer-provided health insurance for part-time workers would probably ________ the employment of part-time workers and ________ the overtime of full-time workers.

Discuss how the use of credentials in the hiring process can represent an efficient investment by the firm.