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5 . How changes in the goods market affect the demand for labour In this question, you'll explore the effect of a drought in New

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5 . How changes in the goods market affect the demand for labour In this question, you'll explore the effect of a drought in New Brunswick on the price of strawberries in Canada, as well as on the daily wages of strawberry pickers in Nova Scotia. Assume that strawberry buyers don't care whether their strawberries come from New Brunswick or Nova Scotia. On the following graph, show the effect the drought in New Brunswick has on the market for strawberries in Canada by shifting either the demand curve, the supply curve, or both. Market for Strawberries in Canada 10 O Supply Demand Supply PRICE (Dollars per kilogram) Demand N 0 0 0 100 150 200 250 300 350 400 450 500 QUANTITY (Millions of kilograms of strawberries)Based on the graph for the market for strawberries in Canada, the drought has caused the price of strawberries in Canada to fall The following graph shows the daily market for strawberry pickers in Nova Scotia. rise Show the effect of the change in the price of strawberries in Canada on the market for strawberry pickers in Nova Scotia by shifting either the demand curve, the supply curve, or both. Market for Strawberry Pickers in Nova Scotia O Supply Demand Supply WAGE (Dollars per worker) Demand LABOUR (Thousands of workers)Market for Strawberry Pickers in Nova Scotia O Supply Demand Supply WAGE (Dollars per worker) Demand decreases LABOUR (Thousands of workers) increases As a result of the change in the price of strawberries, the wage level for strawberry pickers in Nova Scotia

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