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).

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 MCFT D1890 $1 - + - - 1- D1820 $0 Q 0 900 1,000 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 (S,), indentured servants (S;), and slaves (S,). The value of the marginal product of labor is also shown. W, Ps, VMPL Sf $10 L8 17 S s VMPL 12 LO 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

The Wisdom Of Crowds

Authors: James Surowiecki

1st Edition

0385721706, 9780385721707

More Books

Students also viewed these Economics questions

Question

Explain demotion as an alternative to termination.

Answered: 1 week ago

Question

Discuss termination of employees at various levels.

Answered: 1 week ago

Question

Discuss the various approaches to disciplinary action.

Answered: 1 week ago