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kotegsom [21]
3 years ago
7

What happens to the equilibrium wage and quantity of labor if output price rises?

Business
1 answer:
Korvikt [17]3 years ago
6 0

Answer:

both the equilibrium wage and the equilibrium quantity of labor will rise.

Explanation:

The equilibrium market wage rate is the cross section or intersection of the supply and demand variables for labour. Like the graph shows below, these two variables are correlated, meaning one rises so does the other. Therefore if output price rises it means that both the equilibrium wage and the equilibrium quantity of labor will rise.

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Answer:

$1,500

Explanation:

Domestic investment = $1500 billion

Private domestic savings = $3000 billion

Government deficit = $2000 billion

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Now,

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also,

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and,

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Now we know government deficit is 3000 billion and if spending increases further 1000 billion, the government deficit will be 4000 billion

thus,

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or

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Answer:

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Explanation:

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