Set all variables to their baseline values.

1) What is the equilibrium hourly wage for unskilled labor in this market? 2) What is the equilibrium level of employment?

Set all variables to their baseline values, and set the wage to its equilibrium level. The price of output (automobiles) rises to $23,000. 3) What's the new equilibrium wage? 4) What's the new level of equilibrium employment level?

Set all variables at their baseline values, including the price of automobiles. You are a consultant to the auto industry in Flint, Michigan, and have been asked by your bosses to advise them on the effects of a recent Pentagon proposal. The proposal is to change the military pay scale so the average wage for a corporal in the army will rise to $12 per hour. 5) What's the new equilibrium wage in the unskilled labor market? For the proposal in the last question to raise corporals' wages to $12 per hour, 6) What's the new level of employment in the market for unskilled labor?

Set all variables to their baseline values. The price of bread rises to $4.00 per loaf. 7) What's the new equilibrium wage rate? 8) What's the new equilibrium level of employment?

Set all variables to their baseline values. 9) What's the real wage (in terms of bread) of unskilled labor in the baseline equilibrium?

When the price of bread rises to $4 per loaf, and the market for unskilled labor adjusts to its new equilibrium, 10) What's the new real wage of unskilled labor? 11) With all variables at their baseline values, and the labor market in equilibrium, what's the TOTAL HOURLY INCOME FROM WAGES of unskilled workers as a group?

Set all variables to their baseline values. Your task is to pick a value for an effective minimum wage. [Choose a wage less than $20, so it shows on the graph.] 12) What wage rate do you choose? 13) For the minimum wage you chose in the last question, did the incomes of unskilled workers increase or decrease compared to the market equilibrium wage

Set all variables to their baseline values, and set the wage to its equilibrium level. The government imposes a tax of $2 per hour worked.