3. Assume you are a policy maker with the objective of increasing labor force participation. You observe that parents of young children often drop out of the labor force. You are considering two alternative policies:1) Reduce the fixed costs of child care by providing a lump sum subsidy or 2) Provide an hourly subsidy for childcare. Please analyze the expected results of these alternative policies. Use graphs to illustrate each policy. Discuss which workers are likely to be impacted and which effects influence the labor supply decisions of these workers.

Suppose general motors demands labor according to the labor demand function 푤푤= 40−0. 5퐸퐸, where 푤푤 is the hourly wage and 퐸퐸 is the number of employees. the united auto workers union has a utility function given by 푈푈=푊푊∗퐸퐸. a.in 1984, the united auto workers union started negotiations with general motors by assuming that they were a monopoly union. find the wage and employment demands that the united auto workers union would have demanded before any bargaining began. b.if general motors and the united auto workers union both had excellent bargaining representatives, would this be the final labor contract? if not, then explain in words and graphically where they would end up after the bargaining process.

Fractional reserve banking which of the following statements about fractional reserve banking are correct? check all that apply. fractional reserve banking allows banks to create money through the lending process. fractional reserve banking does not allow banks to hold excess reserves. fractional reserve banking allows banks to create additional wealth by lending some reserves. fractional reserve banking relies on everyone not withdrawing their money at the same time.

Describe what fixed costs and marginal costs mean to a company.