Suppose that a new labor law increases the minimum required number of paid vacation days for all full-time employees; illustrate
the effect of this by shifting the aggregate supply (AS) curve in the appropriate direction.
1 answer:
Answer:
The AS curve shifts to left.
Explanation:
If the minimum number of paid vacation days are increased, then it will increase the benefits of labor. Labor will be interested to join the work and the supply of labor will increase, reducing the cost of production and in turn cost of goods in which the labor was used.
Such a reduction in price, in turn, will reduce the aggregate supply, and so the aggregate curve will shift to left. The diagram illustrating the situation is attached.
The AS curve shifts to left.
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Answer:
price per share in March is $96
Explanation:
given data
January price per share = $193.04
January prime rate = 2.75%
march prime rate = 5.50%
to find out
What was the price per share in March
solution
we know that here price is proportional to prime rate
Price ∝ ........1
so price = k × ...............2
k is constant here
so put all value for january
193.04 = k ×
k = 5.28
so for march price per share will be by equation 2
price = 5.28 ×
price = 96
so price per share in March is $96