Excess supply with union wages

Consider the housing construction industry. Assume that the industry is perfectly competitive in both input and output markets. Suppose that, through collective bargaining, a labor union negotiates an industry-wide wage for various kinds of labor (electricians, plumbers, and so on). In particular, it succeeds in negotiating a wage increase for carpenters from $24 to $32 per hour.

1. Adjust the graph (PLEASE CHECK MY ANSWER -> after negotiation)

The following graph shows the labor demand of an individual firm.

On the following graph, show what happens at the firm level as a result of the union negotiations

Before negotiation 48 40 Demand 32 Supply Supply 24 WAGE RATE 16 Demand 8 0 0 20 40 60 80 100 120 QUANTITY OF LABORBefore wage increase Graph Input Tool 48 Wage Rate (Dollars per hour) 24 40 Quantity Quantity Supplied Supply Demanded 60 Thousands of 60 (Thousands of workers) 32 workers) Excess Supply (Thousands of 0 Shortage 0 24 (Thousands of WAGE RATE (Dollars per hour) workers) workers) 16 Demand Demand Shifter 8 Pro-union Advertising 0 (Millions of dollars) 0 0 20 40 60 80 100 120 QUANTITY OF LABOR (Thousands of workers)After wage increase Graph Input Tool ? 48 Wage Rate (Dollars per hour) 32 40 Quantity 40 Quantity Supplied Demanded (Thousands of 110 Supply (Thousands of workers) 32 workers) Excess Supply (Thousands of 70 Shortage 24 (Thousands of 0 WAGE RATE (Dollars per hour) workers) workers) 16 Demand Demand Shifter 8 Pro-union 0 Advertising (Millions of dollars) 0 0 20 40 60 80 100 120 QUANTITY OF LABOR (Thousands of workers)After wage increase with advertising Graph Input Tool 48 Wage Rate (Dollars per hour) 32 40 Quantity 60 Quantity Supplied 110 Supply Demanded (Thousands of Thousands of workers) 32 workers) Excess Supply Shortage (Thousands of 50 (Thousands of 0 24 WAGE RATE (Dollars per hour) workers) workers) D2 16 DA Demand Shifter 8 Pro-union 8 Advertising (Millions of dollars) 0 0 20 40 60 80 100 120 QUANTITY OF LABOR (Thousands of workers)Before wage increase with advertising Graph Input Tool 48 Wage Rate (Dollars per hour) 24 40 Quantity Quantity Supplied Supply Demanded 80 (Thousands of 60 Thousands of workers) 32 workers) Excess Supply Shortage 20 24 (Thousands of 0 (Thousands of WAGE RATE (Dollars per hour) workers) workers) D 2 16 D. Demand Shifter 8 Pro-union 8 Advertising (Millions of dollars) 0 0 20 40 60 80 100 120 QUANTITY OF LABOR (Thousands of workers)