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We have a market in which workers choose between working as an academic or as an entrepreneur, A worker's productivity as an academic (the revenue generated for the college), o, is private information. Colleges view workers' productivity as academics as a random variable that is uniformly distributed on the interval [0, 1]. Good academics are bad entrepreneurs and vice versa. Specifically, a worker with productivity as an academic o would earn f (6) an entrepreneur, where f(6) = 1 -6. Colleges pay academics a wage W and the market is competitive. Universities and workers are risk- neutral expected utility maximisers. Give an explanation and derive the competitive equilibrium of this market. Discuss the equilibrium's properties and what policy intervention, if any, might be appropriate