1.4. Jimi owns a music school that specializes in teaching guitar. Jimi has a limited supply of rooms for his instructors to use for lessons. As a result, each successive instructor adds less to Jimi’s output of lessons. The following table lists Jimi’s production function. Guitar lessons cost $25 per hour.

a. Construct Jimi’s labor demand schedule at each of the following daily wage rates for instructors:
$75, $100, $125, $150, $175, $200.

b. Suppose that the market price of guitar lessons increases to $35 per hour. What does Jimi’s new labor demand schedule look like at the daily wage rates listed in part (a)?

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Quantity of labor Quantity of lessons (hours) 1 23 0 10 17 23 4 28 5 32 7 6180 35 37 38