Until recently, the standard number of hours worked per weekfor a full-time job in

Chapter 2, Problem 17

(choose chapter or problem)

Until recently, the standard number of hours worked per weekfor a full-time job in France was 39 hours, similar to in theUnited States. But in response to social unrest over high levels ofinvoluntary unemployment, the French government instituteda 35-hour workweeka worker could not work more than 35hours per week even if both the worker and employer wanted it.The motivation behind this policy was that if current employeesworked fewer hours, employers would be forced to hire morenew workers. Assume that it is costly for employers to train newworkers. French employers were greatly opposed to this policyand threatened to move their operations to neighboring countriesthat did not have such employment restrictions. Can youexplain their attitude? Give an example of both an inefficiencyand an illegal activity that are likely to arise from this policy