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Ivan
3 years ago
8

When President Obama proposed increasing the minimum wage, he argued that a minimum-wage worker today should earn the same amoun

t of money in real terms as a minimum-wage worker in 1979. But why pick 1979
Business
2 answers:
padilas [110]3 years ago
6 0

Answer:

The Minimum Wage Used To Be Enough To Keep Workers Out Of Poverty in 1979.

Explanation:

galina1969 [7]3 years ago
6 0

Answer:

the question is incomplete:

<em>When President Obama proposed increasing the minimum wage, he argued that a minimum-wage worker today should earn the same amount of money in real terms as a minimum-wage worker in 1979. But why pick 1979? Why not go back to 1938, the first year of the minimum wage? Why not 1999? For each of the years listed below, calculate what the minimum wage would be today if it had kept up with inflation since that year. Today, the minimum wage is $7.25 and the consumer price index (CPI) is 256. (Round your answer to two decimal places.)</em>

Year Minimum wage CPI  Wage today adjusted for inflation

1938 $0.25   14  $4.57    

1979 $2.90   69  $10.76    

1999 $3.80   127  $7.68

$1 in 1938 is equivalent to 256/14 = $18.29 today

so $0.25 is equivalent to $18.29 x 0.25 = $4.57  

$1 in 1979 is equivalent to 256/69 = $3.71 today

so $2.90 is equivalent to $3.71 x 2.90 = $10.76

$1 in 1999 is equivalent to 256/127 = $2.02 today

so $3.80 is equivalent to $2.02 x 3.80 = $7.68

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Scrat [10]

Answer:

The second option which 5 years to maturity exhibited a lower price of

$523.95  

Explanation:

In order to ascertain the option with lower, it is important we determine the price of each investment based on the fact the price of an investment opportunity today is the present value of its future cash flow is the maturity value of $1000 in both cases:

a.

PV=FV/(1+r)^n

PV=price of investment

FV=future value=$1000

r= 13.80%.

n=4 years

PV=$1000/(1+13.80%)^4

PV=$596.25

b.

PV=FV/(1+r)^n

PV=price of investment

FV=future value=$1000

r= 13.80%.

n=5 years

PV=$1000/(1+13.80%)^5

PV= $523.95  

7 0
3 years ago
19. The usefulness of a product to consumers is referred to as product:
uranmaximum [27]

Answer:

The usefulness benefits that a consumer receives from buying and using products or services is called utility... so it's B).                                   ♡ hope this helps ♡

4 0
4 years ago
Read 2 more answers
Katherine, Alliah, and Paulina form a partnership. Katherine contributes $150,000. Alliah contributes $150,000, and Paulina cont
ryzh [129]

Answer:

$33,750

Explanation:

The computation of the amount of income which is credited to Katherine's capital account is shown below:

= (Katherine contribution ÷ total contribution) × partnership income

= ($150,000 ÷ $400,000) × $90,000

= $33,750

The total contribution equals to

= Katherine contribution + Alliah contribution + Paulina contribution

= $150,000 + $150,000 + $100,000

= $400,000

8 0
4 years ago
Certain industries of the U.S. economy, such as farming and heavy equipment manufacturing, have experienced a significant declin
Zolol [24]

Answer:

B. Workers lost these jobs because technological advances increased productivity.

Explanation:

The employees lost employment due to the increased efficiency of technological progress. By improving the productivity of manufacturing drivers, technological advancement expands an economic limit on the possibility of production, allowing equivalent output to be manufactured with fewer resources or more output to be manufactured with the same quantity of resources. For example a machine component that takes 5 men to lift and 10 to assemble in 5 minutes just takes a single machine that doesn't receive wages apart from lubricant a minute to lift and assemble perfectly. Definitely machines are replacing humans to increase efficiency and productivity. Only few humans are employed to supervise and monitor.

7 0
3 years ago
(1) Real-Balances Effect
ozzi

Answer:

(A) 5 and 10.

Explanation:

Factor which can shift the Investment spending:

(5) Profit Expectations

              If the firm forecast a good economy will probably invest more than if it forecast a bad economy. businessman will increase and decrease their investment based on expepectations.

(10) Degree of Excess Capacity

              Assuming a rational behavior, company's will investment if needed. So if there is a portion of unsued capital they will use it before investing to acquire more. Once the current capital is used or near max capacity they will invest. Below a certain threshold they won't.

4 0
4 years ago
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