Jordan and Jennifer are musicians in New Orleans. Ezra is a musician thinking about moving to New Orleans. Which of the following statements is correct?
a. The wage needed to keep Jordan and Jennifer in the New Orleans music industry in the long run will be lower than the wage needed to keep them in the industry in the short run.
b. The costs of entering the New Orleans music industry are sunk costs for Jordan, Jennifer, and Ezra.
c. The costs of entering the New Orleans music industry are sunk costs for Ezra but not for Jordan and Jennifer.
d. The wage needed to induce Ezra to enter the New Orleans music industry will be lower than the wage needed to keep him in the industry after he enters.
e. The costs of entering the music industry in New Orleans are sunk costs for Jordan and Jennifer, but not for Ezra.
E
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