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| You have recently been given the responsibility to update all of the company’s job descriptions to comply with the Fair Labor Standards Act (FLSA) classifications. The company president believes his secretary is an exempt employee and she is not eligible for overtime pay when she works more than 40 hours in a workweek. You need to prepare a memorandum outlining the essential job functions/ duties and giving an opinion about whether the secretary position qualifies for an exempt status classification. To assist you in making this determination, go to www.dol.gov/whd/flsa. What would the HR professional identify as required key essential functions for the position to qualify for an exempt classification? |
business-human-resource-management
You have recently been given the responsibility to update all
Suppose a firm must employ 20 workers in order to
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| Suppose a firm must employ 20 workers in order to produce 2000 units of output that the firm has contracted to supply to the government for $1.4 million. The firm must choose how much to invest in safety. The firm can choose any level of safety, S, from 0 to 100. The cost of safety is C(S) = 50S2. Given the firm’s choice of safety, it must pay an annual salary of 60,000 – 300S. Thus, a firm that chooses S = 30 pays $45,000 for this level of safety and pays each worker $51,000. What level of safety will the firm choose, and how much does this cost? How much will each worker earn? How much profit will the firm earn? |
Both population and the workforce grow at the rate of
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| Both population and the workforce grow at the rate of n = 1% per year in a closed economy. Consumption is C = 0.5(1 – t)Y, where t is the tax rate on income and Y is total output. The per-worker production function is y = 8?c, where y is output per worker and k is the capital labour ratio. The depreciation rate of capital is d = 9% per year. Suppose for now that there are no government purchases and the tax rate on income is t = 0. a. Find expressions for national saving per worker and the steady-state level of investment per worker as functions of the capital-labour ratio, k. In the steady state, what are the values of the capital-labour ratio, output per worker, consumption per worker, and investment per worker? b. Suppose that the government purchases goods each year and pays for these purchases using taxes on income. The government runs a balanced budget in each period and the tax rate on income is t = 0.5. Repeat part (a) and compare your results. |
A student consumes root beer and a composite good whose
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| A student consumes root beer and a composite good whose price is $1. Currently, the government imposes an excise tax of $0.50 per six-pack of root beer. The student now purchases 20 six-packs of root beer per month. (Think of the excise tax as increasing the price of root beer by $0.50 per six-pack over what the price would be without the tax.) The government is considering eliminating the excise tax on root beer and, instead, requiring consumers to pay $10.00 per month as a lump sum tax (i.e., the student pays a tax of $10.00 per month, regardless of how much root beer is consumed). If the new proposal is adopted, how will the student’s consumption pattern (in particular, the amount of root beer consumed) and welfare be affected? (Assume that the student’s marginal rate of substitution of root beer for other goods is diminishing.) |
To answer Problem 8, complete Problem 7 first. Suppose that
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| To answer Problem 8, complete Problem 7 first. Suppose that all of the information from Problem 7 holds except that the portion of lemons in the population is one-half rather than one-third. In this instance, prove that no good used cars will be offered for sale in the market equilibrium. This change affects the equation derived in Problem 7d. Thus, it also changes the weighted average price function in Problem 7f. Once these altered equations are obtained, one need only show that no portion of good used cars sold, G, satisfies the equality required by Problem 7g. |
Paul consumes only two goods, pizza (P) and hamburgers (H)
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| Paul consumes only two goods, pizza (P) and hamburgers (H) and considers them to be perfect substitutes, as shown by his utility function: U(P, H) = P + 4H. The price of pizza is $3 and the price of hamburgers is $6, and Paul’s monthly income is $300. Knowing that he likes pizza, Paul’s grandmother gives him a birthday gift certificate of $60 redeemable only at Pizza Hut. Though Paul is happy to get this gift, his grandmother did not realize that she could have made him exactly as happy by spending far less than she did. How much would she have needed to give him in cash to make him just as well off as with the gift certificate? |
Answer all parts of Problem 3.15 for the utility function
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| Answer all parts of Problem 3.15 for the utility function U(x, y) = x2 + y2. The marginal utilities are MUx = 2x and MUy = 2y. In problem 15 a) Is the assumption that more is better satisfied for both goods? b) Does the marginal utility of x diminish, remain constant, or increase as the consumer buys more x? Explain. c) What is MRSx, y? d) Is MRSx, y diminishing, constant, or increasing as the consumer substitutes x for y along an indifference curve? e) On a graph with x on the horizontal axis and y on the vertical axis, draw a typical indifference curve (it need not be exactly to scale, but it needs to reflect accurately whether there is a diminishing MRSx, y). Also indicate on your graph whether the indifference curve will intersect either or both axes. Label the curve U1. f) On the same graph draw a second indifference curve U2, with U2 > U1. |
Let us call et,1 = yt + 1 – ft,1
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| Let us call et,1 = yt + 1 – ft,1 the 1-quarter-ahead forecast error that you have computed in Exercise 6. Is the expected value of the forecast errors equal to zero? If not, what do you conclude? Run the regression of the forecast errors on several lags, that is, et,1 = ?0 + ?1et,–1 +B2et–2,1 + . . . . .ut+1. Comment on the regression results. Perform an F-test for the joint hypothesis H0: ?1 = ?2 = ?k = 0 for your choice of k. What do you conclude? Is the forecast error predictable from its own past? |
A package delivery company provides both overnight and second-day delivery
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| A package delivery company provides both overnight and second-day delivery services. It charges almost twice as much to deliver an overnight package to any world location as it does to deliver the same package to the same location in two days. Often, second-day packages arrive at company warehouses in destination cities by the next day, but drivers intentionally do not deliver these packages until the following day. What is this business practice called? Briefly summarize alternative perspectives concerning whether this activity should or should not be viewed as a form of price discrimination. |
Here are some balance of payments data (without pluses and
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| Here are some balance of payments data (without pluses and minuses): Merchandise exports, 100 Merchandise imports, 125 Service exports, 90 Service imports, 80 Investment income receipts from assets, 110 Investment income payments on assets, 140 Transfers from home country to other countries, 10 Increase in home country’s ownership of assets abroad, 160 Increase in foreign ownership of assets in home country, 200 Increase in home reserve assets, 30 Increase in foreign reserve assets, 35 Find the merchandise trade balance, net exports, the current account balance, the capital account balance, the official settlements balance, and the statistical discrepancy. |
