F583 - Economics of Work and Leisure - June 2014

But surely if it asked about changes in MRP effecting the quantity employed where do you bring supply side factors into that?

for the economies of scale one, i put managerial and technological economies of scale (although spelt technological wrong in the exam...don't ask) how about others?

lets hope it right then, otherwise we're both screwed

for the economies of scale one, i put managerial and technological economies of scale (although spelt technological wrong in the exam...don't ask) how about others?

MRPL=D

But surely if it asked about changes in MRP effecting the quantity employed where do you bring supply side factors into that?

hey peeps that done the monopsony question what did you put for part A?

But surely if it asked about changes in MRP effecting the quantity employed where do you bring supply side factors into that?

Unfortunately for part a, it was how MRP affects the quantity of labour employed and not the quantity of labour demanded , so knowing OCR they're gunna come down on people who didnt include supply side factors. :/
for part b, MRP theory could be used as a demand-side explaination (MRP=wage), and I wrote a small bit about trade unions at the end.

It wasn't easy by any means, good luck to you

Drew the standard monopsony diagram and just explained it to as full as I could. I mentioned why MCL exceeded ACL and the point they employed at due to MRP theory. Also mentioning how they faced and upward facing supply of labour and how they determined the wage rate using ACL. There wasn't an awful lot to write but i felt part b for that question was extremely generous. How about you?

Quantity employed is the equilibrium between quantity demanded and quantity supplied. Talking about MRP will cover the "quantity demanded" bit but you will need to face this with a supply diagram (which determines quantity supplied) to get quantity employed! If it was only quantity demanded, there wouldnt be much to talk about apart from MRP :/

likewise, mentioned that a monopsonist would employ at the point of profit-maximisation (when MCL=MRP) and due to their market power would provide the lowest wage possible at that level (and showed this on the diagram)

also mentioned that a monopsonist employer could lead to wage differentials and unemployment arising in the labour market. gave an example of a monopsony in one region, and if there wasn't a monopsony in another region, then workers in the region where there was no monopsony would earn higher wages than those workers who were operating under monopsonistic market conditions, thus leading to wage differentials

agh okay yeah they're good - I was unsure and which direction the question was really answering so I just explained the diagram thoroughly!! The fact that it was analyse Im not entirely sure what is relevant

Hi, i chose to do the same question as you, but i'm now worried for not putting in inequality measurements for part A because i thought they were irrelevant. I just put in regressive taxes, wage determinations for low wages, and high indirect taxes.

well a correctly drawn diagram will have you got us 8/15 at the very least so we've definitely got that much, explaining the diagram will probs take you to 10, which is a pretty decent mark anyway

yeah hopefully - Not sure what 90 UMS will be on this paper though as the boundaries are normally low but this paper was relatively quite easy. How did the rest of the paper go?

to be fair, been having a think about it and i don't think it was as easy as people say, that choice of essay was quite hard haha, although i'd prepared loads for a monopsony one so i wasn't gonna miss out on that

rest of the paper went fine, thought the 8 marker on contestability was good - what did you put for that? although i think i messed up the 3 marker asking how the Corn exchange could calculate its unit labour costs haha

Wow, I did not think to mention any of those you have mentioned. For part b I discussed a more progressive taxation policy. I would say we have a progressive taxation policy in the UK, 45% of top earners' tax goes to the government. High indirect taxes in the UK? Did you give examples? I discussed measurements because the UK has one of the highest Gini coefficients in Europe, which supported my main argument which was about social and economic inequality in the UK.