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The table above describes the production function for John Jones's T-shirt firm. Jones can hire as many workers as he wants for $75 per day
The table above describes the production function for John Jones's T-shirt firm. Jones can hire as many workers as he wants for $75 per day and can sell as many T-shirts as he wants for $5 each. a. Given the production information above, do each of the following. i. Draw a graph showing this firm's demand and supply curves for workers. ii. Explain how Jones will determine the number of workers to hire. iii. Indicate how many workers will hire. b. Assume the wage rate at which Jones can hire all the workers he wants increases to $120 per day and the selling price of T-shirts increases to $6. Do each of the following i. Explain how the demand for workers will change. ii. Indicate how many workers Jones will hire. iii. Indicate the quantity of T-shirts Jones will produce. In which type of market structure does Jones sell his T-shirts? Explain how you know
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