For Group A the cost of attaining an educational level y is CA(y) = $6,000y and for Group B the cost of attaining that level is CB(y) = $10,000y.
For Group A the cost of attaining an educational level y is CA(y) = $6,000y and for Group B the cost of attaining that level is CB(y) = $10,000y.
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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For Group A the cost of attaining an educational level y is
CA(y) = $6,000y
and for Group B the cost of attaining that level is
CB(y) = $10,000y.
Employees will be offered $50,000 if they have where y* is an education threshold determined by the employer. They will be offered $130,000 if they have
An employer who only wants to hire individuals who find learning less costly can do so by choosing y* to be anywhere between:
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