1. A salary for schoolteachers in Philadelphia that would be considered fair by economists would be_____________ but efficiency means______________.

a. When prevailing salaries have led to equality between the number of teachers demanded and the quantity supplied when teachers can earn a living wage.

b. Impossible to ascertain given the subjective nature of fairness; salaries where the invisible hand is no longer putting pressure on the final market outcome.

c. Where supply and demand intersect in this market; impossible to determine.

d. Where self-interested teachers and private schools reach an agreement without the pressure of shortages, or the inefficiency of surpluses being part of the outcome when teachers are treated with respect.

e. All the above.