The graph on the right shows the demand for and supply of labor in a market with an equilibrium wage rate of $5 per hour. Show the impact on the graph if a minimum wage of $7 per hour is enacted. 1.) Using the point drawing tool, plot the point that illustrates the quantity of labor demanded when the minimum wage is set at $7 per hour. Label your point 'A.' 2.) Using the point drawing tool, plot a point that illustrates the quantity of labor supplied when the minimum wage is set at $7 per hour. Label your point 'B.' Carefully follow the instructions above and only draw the required objects. According to the graph, when the minimum wage is set at $7 per hour, there will be unemployment of workers in this market. v structural; 4 million. frictional; 4 million. structural; 2 million. frictional; 2 million. The losers when the minimum wage is $7 would be . (Check all that apply.) :I A. low-skill workers who lose theirjobs due to a lack ofdemand for workers. :l B. low-skill workers who nd other employment or who are able to keep their current employment. :I C. low-skill workers who now cannot nd jobs due to increased competition forjobs. :l D. firms that hire lowskill workers at the new wage. 14 Lalirpr deman :3 . |' I l I 1 I I I 3 4 5 6 7 8 9 10 Quantity of labor (millions)