XtremePapers

Answer is B
see 3 worker earns firm revenue of 3 x 16 x 1 = $48
2 workers earns revenue = 2 x 18 x 1 = $36

now when wage is 10$ 3 workers cost 30$ (profit = $18)
2 workers cost $20 (profit = $16)

so he would hire 3 workers.. if wage rises to $14
3 workers cost $42 (profit $6)
2 Workers cost $28 (profit $8)

and hence will hire 2 workers . .

thanks alot man

nP. .^_^

dude can u explain oct/nov 2013 ppr 32 q30

ill try .. give it here..

http://papers.xtremepapers.com/CIE/Cambridge%20International%20A%20and%20AS%20Level/Economics%20(9708)/9708_w13_qp_32.pdf
Q 30 plus Q8 , BTW Q8 might be easy bcz of maths , som gradient tng , and the other variant
http://papers.xtremepapers.com/CIE/Cambridge%20International%20A%20and%20AS%20Level/Economics%20(9708)/9708_w13_qp_33.pdf
Q8 , need maths i guess , n noww i am so bad at maths :D