Problem
Suppose a cafe owner wants to switch to automatic espresso machines instead of paying baristas to pack the coffee grounds by hand. The machines are twice as effective as a human; the fixed cost per machine equals the yearly wage of one employee. Explain how the equilibrium price and quantity of labor will change.
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.