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Explain how that might affect the demand for employed by the Glaxo-Wellcome Company?


The Glaxo Wellcome Company had a monopoly on AZT,a pharmaceutical that delays the onset of AIDS after someone has become HIV positive. The demand for that pharmaceutical was virtually perfectly price-inelastic.

Company will supply relatively fixed quantity. Supply of labor is in excess (though depends on competence level).
So I think demand will be sort of close to unitary elasticity or more to elastic side - if they have international opportunities for hiring.

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