discussions week 5

Description

There are two prompts each one has its own instructions and is to be 250 to 300 words. be sure to separate the sources. Prompt 1: Prior to beginning work on this discussion, read Jared Bernstein’s article, Amazon’s Raise: Unequivocally Good News (https://www.journalgazette.net/opinion/columns/20181007/amazons-raise-unequivocally-good-news). Based on the article’s information and Chapter 12 in your textbook, respond to the following: Why is the demand for labor called a derived demand? In the labor market, what are the firm’s demand curve for labor and the workers’ supply curve of labor? How is a firm’s wage normally determined in the labor market? How could Amazon decide to raise its minimum wage to $15 per hour, despite the federal minimum wage being fixed at $7.25 per hour? What are positive and negative effects of Amazon raising its minimum wage to $15 per hour on its employees, total revenue, and other companies and their employees? Prompt 2: Prior to beginning work on this discussion, read Tim Worstall’s article, One Benefit of Nancy MacLean’s Democracy in Chains – Public Choice and Rent Seeking Popularised (https://www.forbes.com/sites/timworstall/2017/08/06/one-benefit-of-nancy-macleans-democracy-in-chains-public-choice-and-rent-seeking-popularised/#73ac623b6aca). Based on the article’s information and Chapter 14 in your textbook, especially Sections 14.1 and 14.2, respond to the following: What is the public choice idea or theory? Explain what rent seeking is. How can you combine the ideas of public choice and rent seeking? Choose one real-world example of combining public choice and rent seeking to evaluate.