(OPE-L) measuring exploitation

From: gerald_a_levy (gerald_a_levy@MSN.COM)
Date: Thu Oct 02 2003 - 09:05:34 EDT


Phil and Riccardo: thanks for your answers. I'll change the
numbers a bit to get at the question I originally intended.

Here's the modified question (all other conditions previously
stated remaining the same):

c)  In the first firm (A)  there are less workers (La) because
output/worker/hr. is greater  but  La receive higher wages.
In the second firm (B) there are more workers (Lb>La) and
the output/worker/hr is lower but these workers (Lb) are
paid lower wages than the other group (La).  Suppose further
that output/worker/hr is  50% greater in A than in B and that
wages for La are 50% greater than those received by Lb.
(Also: Assume, to avoid further pedantic responses, wages
for Lb are greater than 0.)

QUESTION:

* Which is the more exploited --   La or Lb?

In solidarity, Jerry


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