3-13 - The Firm Wage j1 j2 0.001 .002 .004 Annual prob. of...

Info iconThis preview shows page 1. Sign up to view the full content.

View Full Document Right Arrow Icon
The Worker i2 i1 Wage i3 $6 Annual probability of injury .001 .002 .003 Hutchens i1: worker indifference curve—indicating trade off between wages and risk of injry i2: (better off indifference curve) i3: Evil Knievel indifference curve (more taste for risk)
Background image of page 1
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: The Firm Wage j1 j2 0.001 .002 .004 Annual prob. of injury j1 : a “iso profit curve” indicates the trade off between waes and injury at the same profit j2: is an iso profit curve at higher profit...
View Full Document

This note was uploaded on 09/28/2008 for the course ILRLE 2400 taught by Professor Smithr during the Spring '07 term at Cornell University (Engineering School).

Ask a homework question - tutors are online