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In WORKLAND,the Marginal Product of Labour (MPN)is Given by MPN

Question 73

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In WORKLAND,the marginal product of labour (MPN) is given by MPN = 100 - N,where N is the amount of labour used,and the labour supply by NS = 10 + 5w + 2T,where w is the real wage and T is a lump-sum tax.What is the equilibrium real wage in WORKLAND,if T = 21?


A) 6
B) 10
C) 8
D) 5

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