The Figure Given Below Represents the Effects in the Labor

question 44

Multiple Choice

The figure given below represents the effects in the labor markets due to migration. Here the world has been divided into a high-income "North" (left panel) and a low-income "South" (right panel) . D_n and S_n are the labor demand and the labor supply curves in North. D_s and (S_r + S_mig) are the labor demand and pre-migration labor supply curves in South. S_r is the post-migration labor supply curve in South. The value c is the cost of migrating. When migration between North and South is allowed, how many workers will choose to migrate to North?

• A)20 million
• B)30 million
• C)40 million
• D)50 million

Compare levels of income inequality among different countries.

Analyze the trend of income inequality within specific countries like India and China.

Understand the implications of minimum wage laws on employment and the labor market.

Evaluate global changes in income inequality, considering the Gini coefficient as a tool for measurement.

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Definitions:

Par Value

Is the face value of a bond or stock, representing the amount that will be returned to the investor at maturity or the value at which the stock is noted on the balance sheet.

Default Risk Premiums

The additional yield that investors demand for holding a bond that has a risk of default over a risk-free security.

Treasury Bond

A long-term, interest-bearing security issued by the government, with a maturity period typically longer than ten years.