A.Draw a graph to represent the optimal hiring decision of a monopsonist.

This is a conceptual problem where you must draw and clearly label your axes to earn maximum points.

Show the optimal wage and employment level too.

B.Now using the same graph or a neatly reproduced version of A - show what you would be the wage and employment level in perfect competition. If you believe monopsony generates a deadweight loss, don't forget to highlight this area in your graph. Lastly, what would be the effects of a minimum wage on employment and wage level?