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Veek six microeconomics homework 1. Complete the following labor demand table for a firm that is hiring labor competitively and selling its product in a competitive market. Units Marginal of Total Marginal Product Total revenue labor product product price revenue product 33 45 W w ww ww 55 a. How many workers will the firm hire if the going wage rate is $41.95? $29.95? Explain why the firm will not hire a larger or smaller number of units of labor at each of these wage rates. b. Show in schedule form and graphically the labor demand curve of this firm. 2. In June, 2020 Amazon announced it would increase employment by 250,000 workers. What does this decision reveal about how Amazon views the marginal-revenue-product (MRP) and marginal resource cost (MRC) of the labor resource? The detailed plan released by Amazon confirms the firm will keep 150,000 of these workers post-pandemic. Using the economic logic of the MRP=MRC rule, explain why Amazon plans to reduce its labor force by 100,000 workers after the pandemic subsides. 3. In a laissez faire system of free market capitalism, firms higher the next unit of a resource based on the marginal-revenue-product associated with the additional input. Explain why this rationale ultimately determines income distribution in the United States? List and explain three reasons why economists believe free market capitalism leads to income inequality. What role does government play in redistributing income to achieve fairness and economic justice? 4. Using economic logic, explain why energy demands should be met with a portfolio of energy production. Discuss the challenge of replacing energy produced with inexpensive fossil fuel plants with more expensive renewable sources of energy