Economics Answers

Greece is a country where the wages of the skilled workforce are relatively higher, compared with the wages of skilled workers in Germany and in Germany, the wages of unskilled workers are relatively higher compared with Greece. Assume there is no capital or labor mobility between Germany and Greece. However, Greece and Germany are trading openly. Assume after the economic crises, Greece had increased the tariff rates, which decreased the trade
between Germany and Greece significantly. How would this affect the wage and supply of the skilled labor relative to unskilled labor in Germany and Greece, both in the short run and in the long run?

Greece is a country where the wages of the skilled workforce are relatively higher, compared with the wages of skilled workers in Germany and in Germany, the wages of unskilled workers are relatively higher compared with Greece. Assume there is no capital or labor mobility between Germany and Greece. However, Greece and Germany are trading openly. Acoording to these information, Which country will export the goods that require relatively more skilled labor, which willexport the goods that require relatively more unskilled labor?

Choose two occupations. Write which one should pay more according to the mainstream labor
market model and why. Explain your answer. (Your prediction may contradict with actual wage rate between those occupations. As long as your explanation is good enough, your answer will be OK.)

Assume Japanese government wanted to keep the labor costs in the aggricultural sector low. At the same time however the government wanted to increase the wage level and improve working
conditions of Japanese workers. How can Japan achieve these two seemingly contradicting aims?

Starting with 2000’s capital in the world became increasingly mobile. According to the mainstream labor market model, assuming labor costs are the only factor the capital owners take into account, which countries are the ones capital will move from, and which countries are the ones capital will move in? Explain your answer.

One of the major complaints of the British people for Brexit is, the argument that labor mobility
enforced by EU on England, cause wage level of British workers to fall. Assume this claim of British citizens is correct. Show on two seperate graphs, one representing British labor market, the other labor market of the rest of EU. And show the effect of labor mobility in both markets. Explain in a few words the reason behind this process.

Draw two diagrams showing that the Income-consumption (ICC) curve can be horizontal or downward sloping. Explain what is the difference between the two diagrams.

The demand function for product X is Qd=600-20Px +0.02y-5pr the supply function is Qs=-300 + 10px

Following information is available in respect of a company named, as Beta Ltd
Profit before taxesRs 50 lakhs, Dividend declared per share Rs2, Price of the share prevalent on stock exchange Rs 200, Applicable tax rate 35%,Share capital of company 5 lakh shares of Rs 10 each.
Calculate-1)Earnings per share 2) Dividend Pay-out Ratio 3) Price earnings ratio

Prepare the cash flow statement from investing activities of Alpha Creative Ltd for the year ended March31, 2019

The two scenarios from this exercise were: 1. Consumers save the full proceeds of the tax cut. 2. Consumers save 1/4 of the tax cut and spend the other 3/4. Which of these two scenarios do you think is more realistic? Why is this question important?
In both scenarios, public saving falls by $200 billion, and the budget deficit rises from $300 billion to $500 billion. 1. If consumers save the full $200 billion, national saving is unchanged, so investment is unchanged. 2. If consumers save $50 billion and spend $150 billion, then national saving and investment each fall by $150 billion. Prove it numerically.