Answer:
Suppose a senator considers introducing a bill to legislate a minimum hourly wage of $12.50.
Wage Labor Demanded Labor Supplied
$12.50 375,000 625,000
This will result in a surplus of labor (625,000 higher than 375,000)
Which of the following statements are true?
- Binding minimum wages cause structural unemployment. As with all price floors, a deadweight loss results, because the quantity supplied is much greater than the quantity demanded. In this case, the price of labor is the wage, and the deadweight loss = structural unemployment
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In the absence of price controls, a surplus puts downward pressure on wages until they fall to the equilibrium.
Since a labor surplus exists, the price of labor should start to decrease in order to match the equilibrium price.
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If the minimum wage is set at $12.50, the market will not reach equilibrium. The quantity supplied of labor is much greater than the quantity demanded for labor resulting in a surplus.
Answer to this Question is
D) It's possible to score points in the wrong game.
Explanation:
Yes, its very much true that entrepreneurs build businesses from scratch, they build big empires by providing customers the most innovative products. They keep on finding the new solutions for the people's problems. Yes, while putting this handwork and changing the business and wold's landscape they put so much time, effort and energy that they get very less time for themselves that's why they cant give much time to their relationships and they have to loss them. That's why it is said that its just like scoring points in the wrong game.
Answer:
b. both firms will reduce their price.
Explanation:
The Nash equilibrium is a decision-making theorem that lies inside the game theory where the player could attain the expected result by not deviating to the beginning strategy. In this, the strategy of the each player is optimal at the time when the other player decisions are relevant
So as per the given situation, both the firm should decrease their price
hence the option b is correct
During the final or phaseout stage of the project life-cycle, scope is the dominant goal of many project managers.
