Mary's employer is considering her for a firm-specific training program that will cost $3 per hour.Her current marginal revenue product is $15 per hour and will rise to $20 upon completion of the program.Of the following,Mary's training and post-training wage,respectively,will most likely be:

Question

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Mary's training wage will likely remain at $15, as it matches her current marginal revenue product. Post-training, her wage will likely be $17, which is the $20 marginal revenue product minus the $3 training cost.

Mary's Employer Is Considering Her for a Firm-Specific Training Program