Microeconomics (2nd Edition) (Pearson Series in Economics)
2nd Edition
ISBN: 9780134492049
Author: Daron Acemoglu, David Laibson, John List
Publisher: PEARSON
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Question
Chapter 11, Problem 6P
To determine
Which salary scheme will enable more workers to work 50-hour a week.
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The three people described in the following table are categorized as unemployed by the Bureau of Labor Statistics.
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You have decided to open a coffee shop in San Bernardino. While there is a lot of
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2
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Jane is the General Manager at a new café and wants to hire a few baristas. The going rate for baristas is $15 per hour. Jane has heard that many of the local coffee shops have high turnover with baristas “ghosting” them – simply not showing up for their shifts and never coming back. Jane starts to put together an advertisement to hire baristas for $15 per hour, but changes her mind and lists the wages she will pay at $20 per hour. Why would Jane pay $15 per hour? What’s her rationale for paying $20 (or any wage higher than $15)?
Chapter 11 Solutions
Microeconomics (2nd Edition) (Pearson Series in Economics)
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