Business, 13.02.2020 23:55 cthompson1107
Originally when he could work as many hours as he wanted at a wage w, Roy chose to work seven hours a day. The employer now offers him w for the first eight hours in a day and an over-time wage of 1.5w for every hour he works beyond a minimum of eight hours. Show how his budget constraint changes.
Will he necessarily choose to work more than seven hours a day?
Answers: 3
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