Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

1.f As a result of mutually improving trade, now (Write in numerical answer): m onsume (Precision to 2 decimal places. m onsume Must be accurate

image text in transcribed
1.f As a result of mutually improving trade, now (Write in numerical answer): m onsume (Precision to 2 decimal places. m onsume Must be accurate within +/ 2%) INTERNATIONAL LAABOR MIGRATION 2 A has Labor La = 100. and Marginal Product of Labor (wage) MPLa = Country B has Labor Lb : 20, and MPL (wage) of MPLb = Which country will export and which will import labor, if both are to be improved? (Before sending, if a country has so much Labor that its MPL is negative if it were to use it all. then assume it stops using it at the point where its MPL : 0.) NOTE: You may find that one country sends so much labor to the other, that it sends m hiring Labor from somewhere else (some third country) or retraining and upgrading its 2.a A. Country A will export, and Country 3 import labor. (Write in letter A B or C : B. Country B will export, and Country A import labor. \" C. It cannot be determined without more information. 2.h What is the optimal interest on Labor (MPL) that should be charged, and how much Labor should each country employ? CountryAshouId use __ Country B should use __ Wage win each country (MPL) should be \

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

Macroeconomics Principles And Policy

Authors: William J. Baumol, Alan S. Blinder

11th Edition

0324586213, 978-0324586213

More Books

Students also viewed these Economics questions