16. Digging trenches requires two types of labor: unskilled labor (aka workers) and skilled labor (aka supervisors).

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16. Digging trenches requires two types of labor: unskilled labor (aka workers) and skilled labor

(aka supervisors). Unskilled labor can be hired for

$50 per day, and skilled labor can be hired for $100 per day. If, by hiring another unskilled laborer, K&B Construction Company can dig another 20 feet of trenches per day, and if by hiring another skilled laborer, it can dig another 30 feet of trenches per day, is K&B Construction Company minimizing its costs?

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Microeconomics

ISBN: 9780716759751

1st Edition

Authors: Austan Goolsbee, Steven Levitt, Chad Syverson

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