As with the own-wage elasticity of demand for labor, the elasticity of supply of labor can be similarly classified. the elasticity of supply of labor is elastic if elasticity is greater than 1. it is inelastic if the elasticity is less than 1, and it is unitary elastic if the elasticity of supply equals 1. for each of the following occupations, calculate the elasticity of supply, and state whether the supply of labor is elastic, inelastic, or unitary elastic. es and w are the original supply of workers and wage. e's and w' are the new supply of workers and wage. a. %δes = 7, %δw = 3 b. es = 120, w = $8 e's = 90, w' = $6 c. es = 100, w = $5 e's = 120, w' = $7

Arapid increase in the population of a city or town is most likely to lead to which of the following? a. higher-paying jobs. b. low housing prices. c. a seller's market. d. a drop in population density. 2b2t

Which of the following is an example of a production quota? a. the government sets an upper limit on the quantity that each dairy farmer can produce. b. the government sets a price floor in the market for dairy products. c. the government sets a lower limit on the quantity that each dairy farmer can produce. d. the government guarantees to buy a specified quantity of dairy products from farmers.

Suppose there are three types of consumers who attend concerts at your university’s performing arts center: students, staff, and faculty. each of these groups has a different willingness to pay for tickets; within each group, willingness to pay is identical. there is a fixed cost of $1,000 to put on a concert, but there are essentially no variable costs. for each concert: i. there are 140 students willing to pay $20. (ii) there are 200 staff members willing to pay $35. (iii) there are 100 faculty members willing to pay $50. a) if the performing arts center can charge only one price, what price should it charge? what are profits at this price? b) if the performing arts center can price discriminate and charge two prices, one for students and another for faculty/staff, what are its profits? c) if the performing arts center can perfectly price discriminate and charge students, staff, and faculty three separate prices, what are its profits?