A. Currently the National Football League has a systemfor drafting college players by which each player ispicked by only one team. The player must sign withthat team or not play in the league. What would happen to the wages of both newly drafted and moreexperienced football players if the draft system were

repealed and all teams could compete for collegeplayers?

B. A firm uses both labor and machines in production.Explain why an increase in the average wage ratecauses both a movement along the labor demandcurve and a shift of the curve.