5. Minimum-wage laws and unemployment Consider the market for labour depicted by the demand and supplyIr curves that follow. Use the calculator to help you answer the following questions. You will not be graded on any Changes you make to the calculator. _|. 5"" a WAGE (Dollars per hour) 5'" a 2.5 \"7:..1Hi (I 125 253 335 500 525 F53 STE 1300 LABOUR (Thousands of workers) Graph Input Tool Market for Labour I Wage (Dollars per hour) Labour Demanded ( Thousands of workers) 875 Labour Supplied ( Thousands of workers) 125 5. Minimum-wage laws and unemployment Consider the market for labour depicted by the demand and supplyIr curves that follow. Use the calculator to help you answer the following questions. You will not be graded on any changes you make to the calculator. 20.0 / 1?.5 - _|. F" a I WAGE (Doll are per hour) mand I I l l l 0 125 250 3?5 500 625 F50 STS 1000 LABOUR [Thousands of workers) Graph Input Tool Market for Labour I Wage (Dollars per hour) Labour Demanded ( Thousands of workers) 375 Labour Supplied (Thousands of workers) 625 Suppose a government considers introducing a bill to legislate a minimum hourlyr wage of $12.50. Complete the following table with the quantity of labour supplied and demanded if the wage is set at $12.50. Then indicate whether this wage results in a shortage or a surplus. Hint: Be sure to payr attention to the units used on the graph and in the table. For example, type in 100,000 for 100 thousand workers. Labour Demanded Labour Supplied Wage (Workers) (Workers) Shortage or Surplus? $12.50 | | | | v Which of the following statements are true? Check all that apply. C] In the absence of price controls, a surplus puts downward pressure on wages until theyr fall to the equilibrium. C] If the minimum wage is set at $12.50, the market will not reach equilibrium. C] In this labour market, a minimum wage of $9.50 would be binding. C] Binding minimum wages cause structural unemployment. ed Shortage or Surplus? Shortage all that ap Surplus IS puts dow sure on wages unt Neither he market equilibrium. of $9.50 would be binding.5. Minimum-wage laws and unemployment Consider the market for labour depicted by the demand and supplyIr curves that follow. Use the calculator to help you answer the following questions. You will not be graded on any changes you make to the calculator. WAGE (Dollars per hour) Supp | | I u | l l 125 25B 3?5 500 525 F5!) 875 mm LABOUR (Thousands of workers) Graph Input Tool Market for Labour I Wage (Dollars per hour) Labour Demanded ( Thousands of workers) 9.50 525 Labour Supplied ( Thousands of workers) 475