Microeconomics (Christopher T.S. Ragan) (z-lib.org)

A union operating in an otherwise competitive market can raise the wages of people who continue to be employed but only by reduc ...

Costs and Profits Firms arrive at what they call profits by taking the revenues they obtain from selling their output and subtra ...

programs at universities, the restricted supply of labour drives wages in these occupations higher than they would otherwise be. ...

purchase of goods or services by the firm. The obvious explicit costs include the hiring of workers, the rental of equipment, in ...

Figure 14-5 A Monopsony Firm in a Labour Market of labour. And what is the marginal cost of an extra worker? In order to hire on ...

$3000 per month that would be missed by the accountant who measures only the explicit cost of her wage at $1000 per month. Oppor ...

workers are employed at $15.00 per hour and that to attract an extra worker, the wage must be raised to $15.25 per hour. The mar ...

Table7-1 Accounting Versus Economic Profit for Ruthie’s Gourmet Soup Company accounting profits and economic profits are positiv ...

the provincial Ministry of Health negotiates with a large nurses’ union or when an association of NHL players negotiates with an ...

Is one of these concepts better than the other? No. Firms are interested in the financial return to their owners, which is what ...

Legislated Minimum Wages We have examined wage differentials arising in competitive and non- competitive labour markets. Governm ...

Profits and Resource Allocation If all firms in some industry are earning economic profits, the owners of factors of production ...

Figure 14-6 The Predicted Effects of Minimum Wages industries, which often involve unskilled or semi-skilled workers. These work ...

Profit-Maximizing Output From this point on, when we talk about a firm’s profit, we will always mean economic profit, where all ...

Minimum wages are predicted to reduce employment in competitive labour markets; the predicted effects on employment in monopsoni ...

Time Horizons for Decision Making Economists classify the decisions that firms make into three types: (1) how best to use existi ...

which the monopsony wage is and employment is As in our analysis of Figure 14-5 , the monopsonist is using its market power to k ...

to be met with the existing stock of capital for only a brief time, after which it can be adjusted to the level made desirable b ...

keep their jobs gain when the minimum wage is raised. There is some evidence that some groups suffer a decline in employment con ...

In the case of the call centre, a long-run change might be the replacement of the firm’s existing telephone exchange with a bett ...