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• A painting company sells its service in a perfectly competitive product market, and hires workers from a perfectly com
Posted: Wed Jul 06, 2022 6:34 pm
by answerhappygod
- A Painting Company Sells Its Service In A Perfectly Competitive Product Market And Hires Workers From A Perfectly Com 1 (219.92 KiB) Viewed 11 times
• A painting
company sells its service in a perfectly competitive product market, and hires workers from a perfectly competitive labour market. • It receives a market price of $15 per unit of output, and pays a wage of $70 per hour of work. • For a given day, it has a fixed supply of paints and vans, but can vary the labour it hires. Its marginal physical product of labour today is given by MPP (N) = 10 - 0.2N, where N is hours of work. How many hours of work should it hire today to maximize profit? Enter your answer in numerical form. Round to two decimal places if required. Answer: