08 Jun Question A city is trying to es
Question
A city is trying to estimate the most money it should offer to contractors as an incentive for them to finish disruptive road project early. The transportation project lengthens transport times by 10 hours per week for 40,000 workers. Assume that all workers are paid $10 per hour in a perfectly competitive labor market. What is the most that the city should pay to the contractors as an incentive for completing the project four weeks early?
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