nó có thể so sánh các tiện ích thu được của người dân nghèo với điều đó bị mất bằng cách giàu người - cái gì đó là hầu như không thể làm. Một công ty bảo hiểm đòi hỏi những chi tiết không biết trước khi nó sẽ đảm bảo một người lái xe? Tuổi, giới tính, nghề nghiệp, | Introduction to Economics ECO401 VU Lesson SELECTED ISSUES IN MICROECONOMICS CONTINUED. Supply and Demand Curve for Labor The labour supply curve may bend backwards above a certain wage rate as the income effect of higher income dominates the substitution effect of higher wages. The wage rate is the marginal cost of labour to the firm and is directly proportional to the hours worked. The demand curve for labour can be derived from the intersection of the wage rate lines horizontal parallel lines and the marginal revenue product of labour a downward sloping concave function given by MRPL MPPL x MRi where subscript L stands for labour and subscript i stands for the good which the labourer helps produce. The Value of Marginal Product of Labor VMPL The value of marginal productivity of labor can be represented by the following formula The value of marginal product of labour VMPL MPPL x Pi. It is equal to MRPL when P MC as in perfect competition but otherwise VMPL MRPL. One important difference between labour and land capital is that the latter two can be purchased but labour can only be rented. A rent is a periodic payment as a reward for hiring the factor of production for that period where the purchase price of capital is the value of owning that capital for its entire life. The Net Present Value NPV and Discounting Decisions about purchasing capital or land are often made on the basis of the net present value NPV associated with the decision. The NPV of an asset is the discounted value of the net returns that the asset generates over a period of time plus the discounted value of its disposal value at the end of the period minus the initial purchase cost. Discounting is the process of converting a stream of future incomes and expenses into a present value. The discount rate is the rate at which the future incomes are discounted. THE ECONOMICS OF INFORMATION PRODUCTS The economics of information products or internet products involves studying how economic .
