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Please answer ALL questions, and provide detailed explanations with a separate set of graphs for each question. David's T-Shirt Co. operates in a perfectly competitive,
Please answer ALL questions, and provide detailed explanations with a separate set of graphs for each question.
David's T-Shirt Co. operates in a perfectly competitive, constantcost, resource and product market. T-Shirts sell for $3 each and David's T-Shirt Co. currently employs 100 workers. The current market wage rate is $6 and 2000 workers are in the market. W W MRC MRP # of Workers 0 # of Workers The graphs show the resource market graph and firm graph for David's T-Shirt Co. On the graphs, make the changes indicated in Questions 24 - 30: 24. Label the current wage rate on both the market and firm graph. 25. Label the quantity of workers on both the market and firm graph 26. Show what happens on both graphs if the market supply of workers increases. 27. Suppose the increase in the supply of workers lowers the wage rate from $6 to $4. Label the new wage rate on both graphs. 28. Suppose the lower wage encourages David's T-Shirt Co. to hire 10 more workers. Label the new quantity of workers on the firm graph. 29. Suppose the increase in the supply of workers increases market supply by 100 workers. Label the new quantity of workers on the market graph. 30. (Circle the word that makes the sentence correct) the increase in the supply of workers in the market will cause the MRP of the last worker hired to increase/decrease/stay the sameStep by Step Solution
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