Question: D Scenario 1 A firm's production function is given by Q = 40 In(Ew + Eg + 1) where Ew and Es are the number

 D Scenario 1 A firm's production function is given by Q

D Scenario 1 A firm's production function is given by Q = 40 In(Ew + Eg + 1) where Ew and Es are the number of whites and blacks employed by the firm respectively. From this it can be shown that the marginal product of labor is MPE = 40 Ew+ EB + 1 Suppose the market wage for black workers is $80, the market wage for white workers is $100, and the price of each unit of output is $40

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