What is the answer of question 3.1?

Within a Supply & Demand framework, the rising inequality has to be explained with either Supply changes, or Demand changes. Since wages are seen as a reward for skill, wage inequality is often measured as the wage gap between high skilled and low skilled workers. Johnson (1997) explains the relative wage [or skill premium] with equotion (1) and Figure 3 below. (1 ) AR MA AS Relative R S Wage 3.1(4) Explain equation /1) and how it 1. R. Supply relates to Figure 3. Simon Condition - How does a influence the effects of relative supply changes on relative wages? Relaove Quanery - How is this relation depicted in Figure 37 Figure 3. Relative Wages in a Supply-Demand Framework Note Figure 1 in Johnson (1397)