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2. Job Training: A clothing retail store is considering putting its workers through a training program. Untrained workers currently contribute $100 per day, trained workers contribute $150 per day, and workers in training contribute -$20 per day (training them costs the firm money). Training takes one week (five working days per week), and expects workers to stay for an average of 6 weeks after being trained. Employers choose to train their employees if the total benefits to the company over time are equal or greater than the total costs over time (ignore discounting). (c) Next, assume the labor market is not perfectly competitive, and that firms can pay their employees $10 less per day than they bring in while retaining their employees. Now, given the same minimum wage and training program, do they choose to train their employees?
a grocery store needs to sell 3000 cartons of 2l 2 milk per month. the sales is relativiely constant throughout the
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