2. There are two elementary schools in the town, and there are 40 teachers who are...

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2. There are two elementary schools in the town, and there are 40 teachers who are trying to decide whether to work for one of the two schools. The marginal production of labor at each school is given by the following table: Number of School A School B teachers 10 200 110 15 150 80 20 120 60 25 80 50 30 70 40 35 60 20 40 50 10 a) Find out the total number of teachers demanded using the following table (Assume schools can only hire teachers in increments of five): Wage 200 Number of teachers demanded 10 150 120 110 20+10=30 80 60 50 40 20 10 b) If all the teachers in town are employed (so the supply is 40), what is the equilibrium wage? c) How many teachers will work in school A and how many teachers will work in school B given the wage in b)? d) Suppose teachers in school A secretly form a union and bargain for a wage of $120. How many teachers will school A hire? If the supply of teachers still remains at 40, what's the wage for teachers in school B? e) What would happen if both schools form a union that negotiates a wage of $110? 2. There are two elementary schools in the town, and there are 40 teachers who are trying to decide whether to work for one of the two schools. The marginal production of labor at each school is given by the following table: Number of School A School B teachers 10 200 110 15 150 80 20 120 60 25 80 50 30 70 40 35 60 20 40 50 10 a) Find out the total number of teachers demanded using the following table (Assume schools can only hire teachers in increments of five): Wage 200 Number of teachers demanded 10 150 120 110 20+10=30 80 60 50 40 20 10 b) If all the teachers in town are employed (so the supply is 40), what is the equilibrium wage? c) How many teachers will work in school A and how many teachers will work in school B given the wage in b)? d) Suppose teachers in school A secretly form a union and bargain for a wage of $120. How many teachers will school A hire? If the supply of teachers still remains at 40, what's the wage for teachers in school B? e) What would happen if both schools form a union that negotiates a wage of $110?