Minimum Wage The graph below shows a labor market. If the current labor market as shown in the graph is at equilibrium, what will happen if the government decides to enact a minimum wage at S7. Labor Market LS Minimum Wage Wage Rate ($/hour) LD 0 20 40 80 80 100 120 140 160 180 200 Quantity of Labor (millions of workers) a. Show (by drawing new graph label axis correctly) the new minimum wage on the graph. b. What is the increase in unemployment as a result of the minimum wage? c. Which type of unemployment is affected by the new minimum wage? e Frictional unemployment e Structural unemployment e Cyclical unemployment