Imagine a firm that employs two types of workers some with computer skills and some without.

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Imagine a firm that employs two types of workers – some with computer skills and some without. If technology advances so that computers become more useful to the firm, what happens to the marginal product of the two types of workers?

What happens to equilibrium wages? Explain, using appropriate diagrams.

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Economics

ISBN: 9781473768543

5th Edition

Authors: Gregory Mankiw, Mark P. Taylor

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