ASHFORD ECO 204 Week 2 DQ 1 Tax Credits and the Labor Market
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Tax Credits and the Labor Market. Many states provide firms with an “investment tax credit” that effectively reduces the price of capital. In theory, these credits are designed to stimulate new investment and thus create jobs. Critics have argued that if there are strong factor substitution effects, these subsidies could reduce employment in the state. Explain their argument. How does this affect the labor market? Respond to at least two of your fellow students’ postings
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ASHFORD ECO 204 Week 1 DQ 2 Marginal Utility
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Marginal Utility. Suppose that you observe that total utility rises as more of an item is consumed. What can you say for certain about marginal utility? Can you say for sure that it is rising or falling or that it is positive or negative? When does the law of diminishing marginal utility set in and what does this illustrate about where you should stop consuming if you were eating at an all you can eat buffet? Respond to at least two of your fellow students’ postings
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ASHFORD ECO 204 Week 2 DQ 2 Reduction of Costs
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Reduction of Costs. In an effort to reduce their total costs, many companies are now replacing paychecks with payroll cards, which are stored-value cards onto which the companies can download employees’ wages...