Question
This question is from the Fundamentals of Labor Economics, second edition. And there is no answer. I need help, please. H. Hogan runs a small
This question is from the "Fundamentals of Labor Economics, second edition". And there is no answer. I need help, please.
H. Hogan runs a small convenience store in Hollywood. Currently he keeps the store open from 9 a.m. to 5 p.m. Monday through Saturday (these are not very convenient hours for a convenience store are they?), and he runs the store completely by himself. He has been informed that he could probably see his weekly revenues rise by 30% if he keeps his convenience store open until 10 p.m. every day.
1. Make a list of all the factors he should take into account in his decision to possibly extend his store hours.
2. What are the conditions that would lead Mr. Hogan to decide to hire another worker instead of increasing even further his own working hours?
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