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Worker X is paid $20,000 more in a dangerous job than what Worker X could make in safe jobs. Worker ...

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Worker X is paid $20,000 more in a dangerous job than what Worker X could make in safe jobs. Worker ...

Worker X is paid $20,000 more in a dangerous job than what Worker X could make in safe jobs. Worker X values the job characteristic of safety at $15,000. If the government makes Worker X's job safe and if safe jobs continue to pay their current wage, then, assuming markets are competitive and wages can easily adjust
A) Worker X will be $20,000 worse off.
B) Worker X will be $15,000 better off.
C) Worker X will be $5000 worse off.
D) Worker X will be $20,000 better off.

Textbook

Modern Labor Economics: Theory and Public Policy

Edition: 12^th

Authors: Ehrenberg, Smith

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