« previous next »

Author Question: The discovery of a new oil field has attracted several new investors to Oiland. How will this affect ... (Read 24 times)

bobbysung

  • Hero Member
  • *****
  • Posts: 519
on: Jun 30, 2018
The discovery of a new oil field has attracted several new investors to Oiland. How will this affect Oiland's labor demand curve?
 
  What will be an ideal response?

Question 2

The biggest problem caused by a deflation is that
 
  A) prices fall. B) wages fall.
  C) interest rates rise. D) people cannot repay their debts.
Macroeconomics: Principles, Applications and Tools ¦ O'Sullivan, Sheffrin, Perez ¦ 7th Edition
Buy Test-Bank


Laurenleakan

  • Sr. Member
  • ****
  • Posts: 309
Reply #1 on: Jun 30, 2018
Answer to Question 1

An increase in investment in Oiland will lead to an increase in production in Oiland. This will lead to an increase in the demand for labor. As a result, the labor demand curve of Oiland will shift to the right leading to an increase in the equilibrium wage rate and a decrease in unemployment.

Answer to Question 2

D


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question

bobbysung

  • Hero Member
  • *****
  • Posts: 519
Reply #2 on: Jun 30, 2018
Thank you


Laurenleakan

  • Sr. Member
  • ****
  • Posts: 309
Reply #3 on: Jun 30, 2018
No problemo


« previous next »
 

Did you know?

Inotropic therapy does not have a role in the treatment of most heart failure patients. These drugs can make patients feel and function better but usually do not lengthen the predicted length of their lives.

Did you know?

Bacteria have flourished on the earth for over three billion years. They were the first life forms on the planet.

Did you know?

Patients who have been on total parenteral nutrition for more than a few days may need to have foods gradually reintroduced to give the digestive tract time to start working again.

Did you know?

Normal urine is sterile. It contains fluids, salts, and waste products. It is free of bacteria, viruses, and fungi.

Did you know?

Many medications that are used to treat infertility are injected subcutaneously. This is easy to do using the anterior abdomen as the site of injection but avoiding the area directly around the belly button.

Fallow deer in field Fallow deer in field
Surface magnetic field of SU Aur (a young star of T Tauri type), reconstructed by means of Zeeman-Do Surface magnetic field of SU Aur (a young star of T Tauri type), reconstructed by means of Zeeman-Do
Field horsetail Field horsetail
How much the temperature will rise depends on many factors that affect the level of GHG emission How much the temperature will rise depends on many factors that affect the level of GHG emission
Genes, hormones, and activity affect weight Genes, hormones, and activity affect weight
Kindergarten field trip Kindergarten field trip
Video: Hydrogen bonds - role in the body

For a complete list of videos, visit our video library