For five (5) of the following statements, indicate whether you tend to agree, disagree or are uncertain and explain your reasoning. Your response will be evaluated according to how well you use economic concepts and reasoning to support your position. Graphical analysis to demonstrate your reasoning is encouraged but not absolutely required.

NOTE:Everyone must respond to statement #1 which is worth 6 points.You may choose the other four (4) statements you wish to respond to and each is worth 5 points.

1."Increasing the minimum wage will increase the incomes of low-income workers" [Everyone respond to this statement, then respond to 4 of the following 5]

2."The 20% wage differential between males and females is due to labor market discrimination against females.

3."Stricter airline safety standards such as more thorough inspections of planes and screening of passengers and luggage are clearly justified because they increase transportation safety."

4."A decrease in supply raises price; the higher price decreases demand; the decreased demand lowers price; so the price may eventually settle down at a level below the original one."

5.""Rent control increases the availability of housing to low income renters."

6."We will eventually run out of natural resources such as water and oil."