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Consider the following scenario. In a small town, there are only two hospitals. They then come to an agreement to merge. Both hospitals employ medical

Consider the following scenario. In a small town, there are only two hospitals. They then come to an agreement to merge. Both hospitals employ medical experts such as doctors and nurses, as well as non-medical personnel such as warehousing and cafeteria staff.

The nurse has two friends. Abe works for the cafeteria in hospital 1 and Beth works for the cafeteria in hospital 2. Abe and Beth have similar employment contracts with hospitals 1 and 2, except for one detail: the cafeteria in hospital 2 is operated by Yummy Foods, a chain that operates several cafeterias in the region. Yummy Foods includes in its employment contract with Beth a provision forbidding Beth from (i) taking jobs with competitors of Yummy Foods for two years after leaving the company and (ii) working within two miles of a Yummy Food store in a business that makes more than 10% of its revenue from food sales. Is the merger between hospitals 1 and 2 likely to be more hurtful to Abe or Beth?

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