[Note: In this problem, the fundamental diagram is a supply and demand curve for labor, where the amount of labor is plotted on the horizontal axis, and the price of labor, i.e., the wage, is plotted vertically.] A certain industry can hire all the non-union workers it wants at a wage of $10 per hour, i... the equilibrium market wage is $10. The workers in the large firms consist- ing of the bulk of the workers then form a union, and successfully raise wages to $11 per hour. Workers are now hired through a union hiring hall; no one can be employed without joining the union.

a. Explain why, in the absence of labor laws preventing such actions, there would be a greater likelihood of discrimination by race and gender in this industry after it was unionized.

b. What would the effect of this unionization be on the market (price and quantity) for similar (same or related type of work) non-union labor?