Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

1. Consider the diagram below, which illustrates the transportation market of the United States with two different technologies, water transport (w) and railroad transport (rr).

image text in transcribedimage text in transcribed

1.

image text in transcribedimage text in transcribed
Consider the diagram below, which illustrates the transportation market of the United States with two different technologies, water transport (w) and railroad transport (rr). The marginal costs of each are depicted. The demand curves for transportation services in 1820 and 1890 are both depicted. P, MC $11 $10 MCw $9 $8 $7 $6 $5 $4 $3 $2 MCrr D1890 $1 - - -+ - D1820 $0 Q 0 1,000 90 1, 100 All else equal, find the social savings to the American economy in 1890 from railroads.Consider the colonial labor market depicted in the diagram below. There are three sources of labor supply: free labor (Sy), indentured servants (S;), and slaves (S';). The value of the marginal product of labor is also shown. W, Ps, VMPL SF $10 19 L8 S 13 VMPL E1 L 0 2 8 8 9 8 8 9 8 8 8 9 In this economy, how many of each will be employed? Enter your answer for each as a number. Do not use commas, decimals, or units. If you type in anything but a number, your answer will count as incorrect. Free labor: Indentured servant labor: Slave labor

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Contemporary Advertising

Authors: William F Arens

16th Edition

1260735419, 9781260735413

More Books

Students also viewed these Economics questions