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5. Suppose Lauren is given two options by her employer. First option: She may choose her own hours of work and will be paid the

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5. Suppose Lauren is given two options by her employer. First option: She may choose her own hours of work and will be paid the relatively low wage rate im- plied by budget line HW shown in the accompanying diagram. Second option: She can work exactly HR hours and will be paid the relatively high wage rate implied by budget line HW,. Which option will she choose? Justify your answer. Income H R Hours

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