There is evidence that, other things equal, a 10 percent increase in the number of workers...

 

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There is evidence that, other things equal, a 10 percent increase in the number of workers having a particular skill level leads to about a 4 percent decline in wages for workers with that skill level. In addition, this 10-to 4 ratio appears to hold true whether the Increase in labor supply is caused by domestic changes in labor supply or by an Influx of foreign immigrants. Instructions: Round your answers to 2 decimal places. a. Suppose that 42,000 computer programmers work in Sillcon Valley If the number of computer programmers in Silicon Valley Increases by 5,040 because of a change in U.S. immigration laws, by how many percentage polnts would you expect the wage of computer programmers to fall in Silicon Valley? percent b. Suppose that 8.000 full-time cooks work In restaurants in the Denver area. If Denver becomes popular both with U.S. citizens and with foreigners such that 700 full-time cooks move to Denver from other parts of the United States while 540 full-time cooks move to Denver from other countries, by how much would you expect the wages of full-time cooks to fall in Denver? percent There is evidence that, other things equal, a 10 percent increase in the number of workers having a particular skill level leads to about a 4 percent decline in wages for workers with that skill level. In addition, this 10-to 4 ratio appears to hold true whether the Increase in labor supply is caused by domestic changes in labor supply or by an Influx of foreign immigrants. Instructions: Round your answers to 2 decimal places. a. Suppose that 42,000 computer programmers work in Sillcon Valley If the number of computer programmers in Silicon Valley Increases by 5,040 because of a change in U.S. immigration laws, by how many percentage polnts would you expect the wage of computer programmers to fall in Silicon Valley? percent b. Suppose that 8.000 full-time cooks work In restaurants in the Denver area. If Denver becomes popular both with U.S. citizens and with foreigners such that 700 full-time cooks move to Denver from other parts of the United States while 540 full-time cooks move to Denver from other countries, by how much would you expect the wages of full-time cooks to fall in Denver? percent

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1 Change in number of workers 1260 42000 ... View the full answer