Refer to Figure 23.1b and assume that price is fixed at

$37,000 and that Buzzer Auto needs 5 workers for every 1 automobile produced. If demand is D M and Buzzer wants to perfectly match its output and sales, how many cars will Buzzer produce and how many workers will it hire? If instead, demand unexpectedly falls from D M to D L , how many fewer cars will Buzzer sell? How many fewer workers will it need if it decides to match production to these lower sales? LO5