5. Minimum-wage laws and unemploymentConsider the market for labor depicted by the demand and supply curves that follow.Use the calculator to help you answer the following questions. You will not be graded on any changes you make to the calculator.0125250375500625750875100020.017.515.012.510.07.55.02.50WAGE (Dollars per hour)LABOR (Thousands of workers)Demand Supply Graph Input Tool Market for Labor Wage(Dollars per hour) Labor Demanded(Thousands of workers) Labor Supplied(Thousands of workers) Complete the following table with the quantity of labor supplied and demanded if the wage is set at $7.50. Then indicate whether this wage will result in a shortage or a surplus.Hint: Be sure to pay attention to the units used on the graph and in the table. For example, type in 100 for 100,000 workers.WageLabor DemandedLabor SuppliedShortage or Surplus?(Thousands of workers)(Thousands of workers)$7.50 Suppose a senator considers introducing a bill to legislate a minimum hourly wage of $7.50.Which of the following statements are true? Check all that apply.In the absence of price controls, a shortage puts upward pressure on wages until they rise to the equilibrium. If the minimum wage is set at $10.50, the market will not reach equilibrium. Binding minimum wages cause frictional unemployment. In this labor market, a minimum wage of $7.50 is binding. Consider the market for labor depicted by the demand and supply curves that follow.Use the calculator to help you answer the following questions. You will not be graded on anychanges you make to the calculator.Graph Input ToolMarket for Labor200175SupplyIWage(Dollars perhour)2.50150125LaborLaborSupplied(Thousandsof workers)875125Demanded(Thousandsof workers)100Dumand25125 150 275 sao as 190 aTS 1000LABOR (Thousanda of workers)Complete the following table with the quantity of labor supplied and demanded if the wage is set at$7.50. Then indicate whether this wage will result in a shortage or a surplus.Hint: Be sure to pay attention to the units used on the graph and in the table. For example, typein 100 for 100,000 workers.Labor DemandedLabor SuppliedWage (Thousands of workers) (Thousands of workers) Shortage or Surplus?$7.50Suppose a senator considers introducing a bill to legislate a minimum hourly wage of $7.50.Which of the following statements are true? Check all that apply.In the absence of price controls, a shortage puts upward pressure on wages until theyrise to the equilibrium.If the minimum wage is set at $10.50, the market will not reach equilibrium.Binding minimum wages cause frictional unemployment.In this labor market, a minimum wage of $7.50 is binding.(nou od seogl 3pw

Question

5. Minimum-wage laws and unemploymentConsider the market for labor depicted by the demand and supply curves that follow.Use the calculator to help you answer the following questions. You will not be graded on any changes you make to the calculator.0125250375500625750875100020.017.515.012.510.07.55.02.50WAGE (Dollars per hour)LABOR (Thousands of workers)Demand Supply Graph Input Tool Market for Labor  Wage(Dollars per hour)     Labor Demanded(Thousands of workers)   Labor Supplied(Thousands of workers)  Complete the following table with the quantity of labor supplied and demanded if the wage is set at $7.50. Then indicate whether this wage will result in a shortage or a surplus.Hint: Be sure to pay attention to the units used on the graph and in the table. For example, type in 100 for 100,000 workers.WageLabor DemandedLabor SuppliedShortage or Surplus?(Thousands of workers)(Thousands of workers)$7.50       Suppose a senator considers introducing a bill to legislate a minimum hourly wage of $7.50.Which of the following statements are true? Check all that apply.In the absence of price controls, a shortage puts upward pressure on wages until they rise to the equilibrium. If the minimum wage is set at $10.50, the market will not reach equilibrium. Binding minimum wages cause frictional unemployment. In this labor market, a minimum wage of $7.50 is binding. Consider the market for labor depicted by the demand and supply curves that follow.Use the calculator to help you answer the following questions. You will not be graded on anychanges you make to the calculator.Graph Input ToolMarket for Labor200175SupplyIWage(Dollars perhour)2.50150125LaborLaborSupplied(Thousandsof workers)875125Demanded(Thousandsof workers)100Dumand25125 150 275 sao as 190 aTS 1000LABOR (Thousanda of workers)Complete the following table with the quantity of labor supplied and demanded if the wage is set at$7.50. Then indicate whether this wage will result in a shortage or a surplus.Hint: Be sure to pay attention to the units used on the graph and in the table. For example, typein 100 for 100,000 workers.Labor DemandedLabor SuppliedWage (Thousands of workers) (Thousands of workers) Shortage or Surplus?$7.50Suppose a senator considers introducing a bill to legislate a minimum hourly wage of $7.50.Which of the following statements are true? Check all that apply.In the absence of price controls, a shortage puts upward pressure on wages until theyrise to the equilibrium.If the minimum wage is set at $10.50, the market will not reach equilibrium.Binding minimum wages cause frictional unemployment.In this labor market, a minimum wage of $7.50 is binding.(nou od seogl 3pw

Accepted Answer

Here, the wage = $7.50
Labor demanded = 625 units
Labor supplied = 375 units
Demand is exceeding…

Consider the market for labor depicted by the demand and supply curves that follow. Use the calculator to help you answer the following questions. You will not be graded on any changes you make to the calculator.

5. Minimum-wage laws and unemployment