Suppose that the supply curve of serving in the military is S(P) = P, where Q = S(P) is number of hours employed in military service a day. There are only mercenaries in the army (there is no draft). P is the hourly pay for serving in the military, and the country needs 550 hours of military service a day. Calculate the social cost of maintaining the army per day

Suppose that the supply curve of serving in the military is S(P) = P, where Q = S(P) is number of hours employed in military service a day. There are only mercenaries in the army (there is no draft). P is the hourly pay for serving in the military, and the country needs 550 hours of military service a day. Calculate the social cost of maintaining the army per day

Microeconomics: Private and Public Choice (MindTap Course List)

16th Edition

ISBN:9781305506893

Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson

Publisher:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson

Chapter4: Demand And Supply: Applications And Extensions

Section: Chapter Questions

Problem 6CQ

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Suppose that the supply curve of serving in the military is S(P) = P, where Q = S(P) is number of hours employed in military service a day. There are only mercenaries in the army (there is no draft). P is the hourly pay for serving in the military, and the country needs 550 hours of military service a day. Calculate the social cost of maintaining the army per day
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