6. KEY QUESTION Assume a firm is a monopsonist that can hire its first worker for

$6 but must increase the wage rate by $3 to attract each successive worker. Draw the firm’s labour supply and marginal labour cost curves and explain their relationships to one another. On the same graph, plot the labour demand data of question 2 in Chapter 14. What are the equilibrium wage rate and level of employment? Why do these differ from your answer to question 4?