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A firm produces new pharmaceutical drugs using computers and scientists. Computers cost $10 and wages for scientists are $10. There is also a givernment program attempting to boost employment of scientists which will pay 50% of a wage for any scientist hired, up to a maximum of 2 scientists.

1) Draw an isocost line for cost=10

2) Draw an isocost line for cost=20

Macroeconomics, Economics

  • Category:- Macroeconomics
  • Reference No.:- M92039249
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