Consider two occupations (A and B) in which people have the same skills and abilities. When employed,

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Consider two occupations (A and B) in which people have the same skills and abilities. When employed, workers in the two occupations work the same number of hours per day. In occupation A, employment is stable throughout the year, whereas employment in B is characterized by seasonal layoffs. In which occupation will the hourly wage rate be highest? Why? In which occupation will the annual wage be highest? Why?

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Economics Private And Public Choice

ISBN: 9780357133996

17th Edition

Authors: James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson

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