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Author Question: Explain how technological change can cause changes in wage inequality. What will be an ideal ... (Read 94 times)

kaid0807

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on: Jun 30, 2018
Explain how technological change can cause changes in wage inequality.
 
  What will be an ideal response?

Question 2

Which of the following is an asset of a central bank?
 
  A) currency
  B) bonds
  C) reserves
  D) none of the above


epscape

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Reply #1 on: Jun 30, 2018
Answer to Question 1

If the technological progress favors skilled workers, the demand for skilled workers will rise and the demand for relatively unskilled workers will fall. This would cause the wage gap to increase.

Answer to Question 2

B


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