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6. (18 Points) Discussion Questions: Provide brief answers to the following questions. (a) (6 Points) This winter break, someone may hypothesize to you that machines
6. (18 Points) Discussion Questions: Provide brief answers to the following questions. (a) (6 Points) This winter break, someone may hypothesize to you that machines are going to replace many workers in the future and there will be persistent largescale unemployment. What have you learned about this, and what would you say to the person? (b) (6 Points) Say an automaker with market power is building cars in two factories, in Detroit and Mexico City. Wages decrease in Mexico City only. What should you expect to happen to production in Detroit? How does this compare to the case of a perfectly competitive automaker? (c) (6 Points) If two rms are competing with each other in a market, when would a rm prefer to \"move rst\" than \"move second\" and when would a rm prefer to \"move second\" than \"move rst\"? When would a rm want to \"move rst\" if given the option, rather than move simultaneously
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