This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: If barbers in Mexico are just a productive as their counterparts in the United States then why do ... (Read 37 times)

lb_gilbert

  • Hero Member
  • *****
  • Posts: 588
on: Jun 29, 2018
If barbers in Mexico are just a productive as their counterparts in the United States then why do they earn lower wages?
 
  What will be an ideal response?

Question 2

Refer to Figure 6-1. The demand curve on which elasticity changes at every point is given in
 
  A) Panel A. B) Panel B.
  C) Panel C. D) none of the above graphs.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

Koolkid240

  • Sr. Member
  • ****
  • Posts: 357
Reply #1 on: Jun 29, 2018
Answer to Question 1

The reason is that productivity alone does not determine earnings. Productivity times the price that consumers are willing to pay does. This is what is referred to as the marginal revenue product. In Mexico the ability and willingness to pay for a haircut is lower than it is in the United States. That translates into a lower marginal revenue product and lower wages as well.

Answer to Question 2

C


lb_gilbert

  • Member
  • Posts: 588
Reply 2 on: Jun 29, 2018
YES! Correct, THANKS for helping me on my review

Sarahjh

  • Member
  • Posts: 370
Reply 3 on: Yesterday
:D TYSM

« previous next »
 

Did you know?

In 2006, a generic antinausea drug named ondansetron was approved. It is used to stop nausea and vomiting associated with surgery, chemotherapy, and radiation therapy.

Did you know?

The most dangerous mercury compound, dimethyl mercury, is so toxic that even a few microliters spilled on the skin can cause death. Mercury has been shown to accumulate in higher amounts in the following types of fish than other types: swordfish, shark, mackerel, tilefish, crab, and tuna.

Did you know?

There are actually 60 minerals, 16 vitamins, 12 essential amino acids, and three essential fatty acids that your body needs every day.

Did you know?

Complications of influenza include: bacterial pneumonia, ear and sinus infections, dehydration, and worsening of chronic conditions such as asthma, congestive heart failure, or diabetes.

Did you know?

A cataract is a clouding of the eyes' natural lens. As we age, some clouding of the lens may occur. The first sign of a cataract is usually blurry vision. Although glasses and other visual aids may at first help a person with cataracts, surgery may become inevitable. Cataract surgery is very successful in restoring vision, and it is the most frequently performed surgery in the United States.

The United States under the Articles of Confederation, 1787 The United States under the Articles of Confederation, 1787
Dolores Huerta and Cesar Chavez, leaders of the United Farm Workers, discuss their 1968 strike of ... Dolores Huerta and Cesar Chavez, leaders of the United Farm Workers, discuss their 1968 strike of ...
One of the cultural privileges of being white in the United States is less suspicion of wrongdoing. One of the cultural privileges of being white in the United States is less suspicion of wrongdoing.
For millions of people, the United States represents a land of opportunity and freedom from ... For millions of people, the United States represents a land of opportunity and freedom from ...
States that require licensing or certification. Graphic provided by Associated Bodywork & ... States that require licensing or certification. Graphic provided by Associated Bodywork & ...
Dissolved oxygen at The Gulf of Mexico’s “Dead Zone” Dissolved oxygen at The Gulf of Mexico’s “Dead Zone”
Video: Semidiscontinuous DNA replication

For a complete list of videos, visit our video library