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Fred and George each work 8 hours / day for 5 days a week at their joke shop. Currently, they are able to sell 1
Fred and George each work hoursday for days a week at their joke shop. Currently, they are able to sell Pygmy Puffs each throughout one workday. With this current arrangement, each brother is paid $day and overhead costs are around $ per day on average. Their brother, Ron, has expressed interest in working at the joke shop fulltime for wages of$day; they estimate that he would be able to sell Pygmy Puffs a day, but because he is a clumsy the also estimate that overhead cost will go up to $day because of breakage. By how much does the new multifactor productivity with Ron differ from the one without hiring him?
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