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Suppose Amy Has 100 Efficiency Units of Labor, Bill Has

Question 6

Multiple Choice

Suppose Amy has 100 efficiency units of labor, Bill has 50 efficiency units of labor, and Chris has 20 efficiency units of labor. Which of the following is true?


A) A firm will always hire Amy over Chris, regardless of wages.
B) A firm will hire Amy if her wage is at least twice that of Bill's and at least five times that of Chris's.
C) A firm will hire Amy if her wage is at most double that of Bill's and at most five times that of Chris's.
D) A firm will never hire Bill, regardless of wages.
E) A firm will never hire Chris, regardless of wages.

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