2.

(a) Plot the annual employment rate (https://data.oecd.org/emp/employment-rate.htm) and corporate investment (https://data.oecd.org/gdp/investment-by-sector.htm) for all OECD countries for the latest available year. Do their trends support the firm’s demand for labor predicted by the model you studied in this chapter? Explain your answer.

(b) Plot the hours worked (https://data.oecd.org/emp/hours-worked.htm) and public spending on labor markets (https://data.oecd.org/socialexp/public-spending-on-labourmarkets.

htm) for all OECD countries in the latest year. Do their trends support the firm’s demand for labor predicted by the model? Explain your answer.