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Production outcome due to shortage Figure 3 The effect of labor shortage on the production of Lattes A wage $2 52 Price $1 $1 D1 D1 employment Quantity Question 4 Referring to figure 3 above, which diagram best depict the effect of labor shortage on the production of lattes?........... Describe the effect of labor shortage on the price of lattes and quantity produced (in terms of decrease or increase) Effect on the price of lattes..... . . . . ............... . . . . . . . . .. ... . . . . ................... Effect on the quantity of lattes produced