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If the Price of Widgets Is $2 and the Real

question 34

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If the price of widgets is $2 and the real wage is $20 per hour then the firm must sell 10 widgets to cover the cost of an hour of labour. If the price of widgets rises to $4, how many widgets must the firms sell to cover the cost of an hour of labour?


Definitions:

Maximum Rate

The highest permissible interest rate or charge on a loan as defined by law or regulation.

Illegal Bet

A wager placed in violation of laws or regulations governing gambling activities.

Withdraw

To remove or take back something previously offered or put forward, or to exit a process or situation.

Fraudulent Means

The use of deception, cheating, or manipulation with the aim of gaining an unfair advantage or causing harm to another party.

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