Draw a graph that shows when minimum wage is expected to result in little or no unemployment as long as the wage remains in the indeterminant range.

Q: what are the factors that will lead to an increase in demand for workers in an economy?

A: There are many factors that could lead to an increase in the demand for labor. Some of them are: 1.…

Q: Describe the two possible effects that an increase in the wage rate can have on labor supply. Which…

A: Wage rates are defined as the fundamental remuneration per unit of time or output. The amount of…

Q: Using one reason for wage rigidity, graphically illustrate unemployment in the labour market where…

A: Supply of labor: A look at the elements that influence an individual's and the market's labor…

Q: If higher wages raise productivity, does supply and demand determine wages?

A:

Q: In a competitive labor market, when the governmentincreases the minimum wage, the resul t is…

A: The labor market illustrates how the interaction between the employers and the employees determines…

Q: How do I find the real wage equilibrium on a labor market equilibrium?

A: The equilibrium real wage rate is found out at the intersection of the supply and demand for labour.…

Q: Give two reasons why a firm might want to pay workers above the competitive wage and how can this…

A: Efficiency wages refers to the employers paying more wages to the workers. This means that the wages…

Q: Identify two reasons why a wage might rise above the market equilibrium,and describe their effect on…

A: Answer to the question is given below :

Q: Explain, with the aid of a diagram, the impact of the imposition of a minimum wage above the…

A: Minimum wages are described as "the bare minimum of remuneration that an employer is compelled to…

Q: How does the amount of unemployment created by an increase in the minimum wage depend on the…

A: The elasticity of labor demand explains the fluctuation in quantity demanded of labor due to change…

Q: Explain how search frictions arise in the labour market.

A: The market where demand and supply of jobs tend to meet with workers that provide services that tend…

Q: Bojack wants to work full time as an actor. However, currently, he has no acting jobs, so he works…

A: Part time workers are considered as employed and part of labor force. A person working 20 hours a…

Q: Explain the hedonistic wage function in short with a diagram

A:

Q: Briefly explain the four explanations of unemployment presented by the efficiency wage theory.

A: The efficiency wage hypothesis states that you ought to pay your employees more than the going rate…

Q: Consider the following hypothetical scenario: London introduced a mandatory living wage in 2016, but…

A: Answer -    Mandatory Living wage :- It is the minimum wage that a firm need to pay it's workers to…

Q: Why do economists say that discrimination is inerhently inefficent and therefore will not occur in…

A: Discrimination is the process of charging different prices from a different individuals in the…

Q: Proponents of the minimum wage argue that it will not reduce employment. Opponents argue the…

A: Hi student, Thanks for positing the question. As per the guideline, we are providing answer for the…

Q: What is the equilibrium wage rate? what is the equilibrium level of employment?

A:

Q: What is the purpose of wage suppression? How wage suppression is defined in the literature?

A: The payment being made for labor or services in terms of money being decided as per the contract…

Q: What is the impact of derived demand on labor wages?

A: 1.Derived demand is indirect demand.for example if there is demand for steel then there will be…

Q: reservation wage if non labour income increases

A: A reservation job is defined as the lowest possible income that labor will accept or offered for his…

Q: Construct a diagram to describe an equilibrium in a labour market. Clearly label the axises and the…

A: on the x-axis quantity of labors plotted while on the y-axis wage rate plotted. Consider the below…

Q: Labor markets are different from most other markets because labor demand is a. unresponsive to…

A: Labor markets are different from most other markets.

Q: According to efficiency wage theory, what is NOT a reason that companies want to pay an efficiency…

A: Efficiency wage theory says that firms pay workers above competitive wage.

Q: Illustrate and explain the impact of a minium wage on the labour market

A: The minimum wage rate or the wage floor is a concept where the government authority fix is the…

Q: Explain how the changes in wages can affect equilibrium.

A: Changes in wages may happen due to employer policies or in general by government policies. For…

Q: Explain the dual labor market?

A: A labor market is a type of market where the workers and employee communicate with one others. In…

Q: Suggest solutions to the limitations of the Efficiency Wage Model

A: The efficiency wage theory proposes that raising wages will enhance labour productivity because…

Q: What is three determinants of labour demand with examples?

A: Demand and supply are important in microeconomics. Aggregate demand and aggregate supply are…

Q: What happens to the reservation wage if nonlabor income increases, and why?

A: Reservation wages are those wages which are given to the labor so that they participate in the labor…

Q: Can you answer this question with a drawing of both diagrams, in a model of the labour market, both…

A: Equilibrium in the labor market can be explained through following relations : Price Setting…

Q: Some economists argue that minimum wage policy does not always lead to the unemployment consequences…

A: A minimum wage law refers to a law that decides the minimum wage rate that an employer should pay to…

Q: How do wages affect labor supply?

A: The labor is an important factor of production and the wage is the income earned by labor for…

Q: : What is the effect of an decrease in the price of market goods on a worker's reservation wage,…

A: Reservation wage represents the lowest wage rate at which labor will be willing to work. If the…

Q: Why does the salary gap persist?

A: Wage discrimination happens when, because of the activity of the work market, comparable laborers…

Q: In this section you have to indicate whether you think the statement is true or false and explain…

A: A change in anything else that affects  demand for labor like changes in output, productivity or…

Q: The below graph shows the optimal asking wage. Suppose another individual with the same wage…

A: When the individual is present-oriented, he would not sacrifice his present wage or consumption at…

Q: When Alan Greenspan (an economist who wouldlater chair the Federal Reserve) ran a consulting firmin…

A: Alan Greenspan uses a different and unique business strategy which others were not using to make his…

Q: Explain in two ways how the equilibrium wage can be disturbed

A: Equilibrium  wage is the wage rate which equates the demand and supply of the labor. The…

Q: how does the demand and supply for labour affect the wage rate of workers?

A: The labor market determines how the interaction between the workers and the employers determines the…

Q: What is a perfectly competitive labor market?

A: A perfectly competitive market will be one in which the firm have no power to impact the price of…