Curly just graduated from State U and has three job offers: teaching at a prestigious private high school nine months a year with summers off,working forty hours a week at a bank in a small city,and working more than sixty hours a week for a high-powered investment firm on Wall Street (in New York City).
Suppose all of the jobs paid exactly the same annual salary,and that most people prefer leisure to work,all else equal.If that were the case,

Question

Quizplus · Accepted Answer

Since most people prefer leisure to work, they will prefer a job that provides them with the most leisure time. Therefore, the job with summers off would be the most attractive option, resulting in a surplus of high school teachers. The other two options require more work hours, making them less attractive to most people. This would result in a shortage of workers for the investment firm and the bank, but a surplus of workers for the high school teaching job.

Curly Just Graduated from State U and Has Three Job