Author Question: Gross domestic product (GDP) will increase if illegal drugs are made legal. a. True b. False ... (Read 49 times)

londonang · **on:** Jun 30, 2018

Gross domestic product (GDP) will increase if illegal drugs are made legal.
a. True
b. False
Indicate whether the statement is true or false

Question 2

Explain why wage rates might rise at Joe's Quik-Print Shop if Joe replaces his aging copy machines with state-of-the-art copy machines.

nhea · **Reply #1 on:** Jun 30, 2018

Answer to Question 1

False

Answer to Question 2

The improvement in technology will boost the productivity of Joe's employees. Their MRP will rise, and since Joe's labor demand curve is the MRP curve, he will be willing and able to hire more workers and pay higher wage rates.