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The internal study at Mimeo Corporation; producer of low end photocopiers, revealed that each of its workers assembles three photocopiers per hour and is paid $3 dollars for each assembled copier. Though company doesn't have resources required to supervise workers, a full time inspector verifies quality of each unit manufactured before a worker is paid for his or her output. You have been asked by supervisor to estimate new proposal designed to cut costs. Under plan, workers would be paid fixed wage of $8 per hour. Would you favor plan? Describe.

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