Problem
1. Why do the factor demand and supply curves have their particular slopes?
2. Explain how an equilibrium factor price is established in a factor market if there is either an excess demand for the factor or an excess supply of the factor.
3. What determines the distribution of national income between payments to labor and capital?
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.