Ask Question, Ask an Expert


Ask Microeconomics Expert

Let's think about an economically sound way to measure the value of leisure. To keep this simple, we'll just think about the value of leisure to people who could work but who decide to stay home. Also, we won't think about how much actual workers value their free time, or how much children and retirees value their time.

In a standard supply and demand labour model, firms "demand" labour while workers "supply" labour. Let's think about a labour market that is in equilibrium, with a wage of $20 per hour and with 14 million individuals working out of a total of 16 million working-age individuals.

According to this simplified model of the economy, some workers would work if the wage were higher, but at the current wage, they'd rather stay home and watch reruns of Seinfeld or (don't let this be you!) Coronation Street. For the workers who are right on the margin between working and not working, what would their wage be if wages rose ever so slightly and they went to work?

Microeconomics, Economics

  • Category:- Microeconomics
  • Reference No.:- M938233

Have any Question? 

Related Questions in Microeconomics

Assignmentdfds are process diagrams that emphasize the data

Assignment DFDs are process diagrams that emphasize the data consumed, produced, and stored by processes under discussion. Complex processes are decomposed into their constituent elements to reveal the most elemental sub ...

Assignment external financinggenesis energys newly

Assignment: External Financing Genesis Energy's newly established operations management team decided to seek outside assistance in developing a long-term operating plan that also addresses the financial issues identified ...

Assignmentprepare a 600-word paper not including title

Assignment Prepare a 600-word paper , not including title page and references on The history and application of Kaizen to Process Improvement. You will research your choice of this topic and work to determine the impact ...

Asignmentit audit and controlchange and patch management1

Assignment IT Audit and Control "Change and Patch Management" 1. Analyze IT change management and patch management processes needed within organizations. Identify three (3) challenges organizations face when implementing ...

Prepare 100 words summary for class discussioncreative

Prepare 100 words summary for class discussion Creative Destruction by W. Michael Cox and Richard Alm Joseph Schumpeter (1883-1950) coined the seemingly paradoxical term "creative destruction," and generations of economi ...

Acts of possessioncarefully read acts of possession which

Acts of Possession Carefully read "Acts of Possession," which covers European modes of possessing land and justifying colonization in the Americas. Write a short essay Addressing the following: What common features or as ...

Suppose the consumerworker values two things a consumption

Suppose the consumer/worker values two things: a consumption good C and leisure L. Suppose that there are 24 hours in a day and the consumer/worker has a utility function U (C, L) = C^0.5 + L ^0.5 The price of consumptio ...

Discussionlong-term investment and cost-benefit analysis

Discussion "Long-Term Investment and Cost-Benefit Analysis" Please respond to the following: • From the scenario for Katrina's Candies, suggest one method in which Herb could use a cost-benefit analysis to argue for or a ...

Balance of payments and foreign exchange rates

Balance of Payments and Foreign Exchange Rates Assignment This assignment examines the balance of payments and foreign exchange rates. We will define and be able to identify the balance of payments, a closed economy, an ...

Economicsselect a new realistic good or service for an

Economics Select a new, realistic good or service for an existing industry, preferably an industry you current work in or one in which you are interested in working. Develop a 1,400-word evaluation of pricing strategies ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

A cola-dispensing machine is set to dispense 9 ounces of

A cola-dispensing machine is set to dispense 9 ounces of cola per cup, with a standard deviation of 1.0 ounce. The manuf

What is marketingbullwhat is marketing think back to your

What is Marketing? • "What is marketing"? Think back to your impressions before you started this class versus how you

Question -your client david smith runs a small it

QUESTION - Your client, David Smith runs a small IT consulting business specialising in computer software and techno

Inspection of a random sample of 22 aircraft showed that 15

Inspection of a random sample of 22 aircraft showed that 15 needed repairs to fix a wiring problem that might compromise

Effective hrmquestionhow can an effective hrm system help

Effective HRM Question How can an effective HRM system help facilitate the achievement of an organization's strate