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The following is a system of equations that explains a firm’s pricing. A firm’s price is...

The following is a system of equations that explains a firm’s pricing. A firm’s price is Px = 10 + .8*MC - .1*Psub, cost is MC = 5 + .2*Wage - .5*MP and MP = 5 + .6*EDUC. Psub is price of a substitute, MP is a measure of labor productivity. If EDUC (a measure of education and training) rises by one unit, by how much will the firm’s Px change?

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