Which statement best compares these two loans? Loan A
Loan B
O The annual percentage rate for loan A is higher
than the rate for loan B
Loan
amount
$15,000
$10,000
O The interest for loans A and B will cost the borrower
the same amount over time.
APR
17%
19%
O The interest is about half the principal for A and
almost equal to the principal for B.
The total payment for A is higher than for B, even
though the principal is actually lower
Loan
repayment
term
5 years
5 years
Total
interest
paid
$7,367.32
$9,857.02
) Intro
Done

Suppose a firm faces a fixed price of output, 푝푝= 1200. the firm hires workers from a union at a daily wage, 푤푤, to produce output according to the production function 푞푞= 2퐸퐸12. there are 225 workers in the union. any union worker who does not work for this firm is guaranteed to find nonunion employment at a wage of $96 per day. a.what is the firm’s labor demand function? b.if the firm is allowed to choose 푤푤, but then the union decides how many workers to provide (up to 225) at that wage, what wage will the firm set? how many workers will the union provide? what is the firm’s output and profit? what is the total income of the 225 union workers? c.now suppose that the union sets the wage, but the firm decides how many workers to hire at that wage (up to 225). what wage will the union set to maximize the total income of all 225 workers? how many workers will the firm hire? what is the firm’s output and profit? what is the total income of the 225 union workers? [hint: to maximize total income of union, take the first order condition with respect to w and set equal to 0.]

You should typically prepare at least questions for the people who will host you during a job shadow. a. 3 b. 4 c. 5 d. 2

Adrawback of short-term contracting as an alternative to making a component in-house is thata. it is the most-integrated alternative to performing an activity so the principal company has no control over the agent. b. the supplying firm has no incentive to make any transaction-specific investments to increase performance or quality. c. it fails to allow a long planning period that individual market transactions provide. d. the buying firm cannot demand lower prices due to the lack of a competitive bidding process.