21 May WHAT IS THE MECHANISM BY WHICH HE BELIEVES THAT IMMIGRATION WILL IMPACT CONVERGENCE?
Explain three of the five main aspects of the Taft-Hartley Act discussed in class; be sure to mention the most important one. Talk briefly about the effect of the Taft-Hartley Act on Union strength in the United States.
2. In attempting to apply the model of compensating wage differentials to health benefits economists run into the problem of an “ability biasâ€. Please describe the problem of the ability bias with respect to health benefits using the two models used in class (the graph showing the isoprofit curves of the firm and the indifference curves of two workers with and without the existence of an ability bias). Briefly describe the technique used by economists to eliminate the potential bias?
3.Estimations of labor supply elasticity in response to wage changes have been attempted by many economists and are difficult to obtain. Give a detailed explanation as to why this number is so difficult to calculate given the data and techniques available to economists. Each aspect given in lecture should be addressed.
4.Borjas (2001) discusses the impact of immigration on domestic wage convergence in the United States. What is the mechanism by which he believes that immigration will impact convergence?
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