EBK ECONOMICS
13th Edition
ISBN: 8220106799642
Author: PARKIN
Publisher: PEARSON
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Chapter 6, Problem 4SPA
a)
To determine
Hours
b)
To determine
Increase in demand, wage rate and hours unemployed.
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The table gives the demand and supply schedules of teenage labor.
Wage rate(dollars per hour)
Quantity demanded(hours per month)
Quantitysupplied(hours per month)
6
2,500
1,500
7
2,000
2,000
8
1,500
2,500
9
1,000
3,000
Calculate the equilibrium wage rate, the hours worked, and the quantity of unemployment.
The minimum wage for teenagers is $8 an hour. How many hours are unemployed?
3. If the demand for teenage labor increases by 500 hours a month, what is the wage rate and how many hours are unemployed?use figure 1 and answer the following question
(a) Consider the demand curve in Figure 1. What is the consumer surplus when the price is $4 a unit?
(b) Consider the demand curve in Figure 1. What is the consumer surplus when the price is $11 a unit?
(c) Consider the demand curve in Figure 1. If the price rises from $4 to $11 a unit, What will happen to consumer surplus?
Use the…
Wage
$12
$11
$10
$9
$8
$7
$6
$5
$4
$3
$2
$1
T
S
Tools
/
$5.50
D
0
1
2
3
4
5 6 7 8 9 10
Labor
$6.50
■. The government introduces a minimum wage of $5.50. Draw a horizontal
ne to identify the minimum wage on the graph.
5. Minimum-wage laws and unemployment
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.
Graph Input Tool
(?)
Market for Labor
16
14
Supply
Wage
2.00
(Dollars per hour)
12
1,400
200
Labor Demanded
(Thousands of
workers)
Labor Supplied
(Thousands of
workers)
10
8
Demand
0
0 200 400 600 800 1000 1200 1400 1600
LABOR (Thousands of workers)
Complete the following table with the quantity of labor supplied and demanded if the wage is set at $10.00. Then indicate whether this wage will res
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.
Labor Demanded
Labor Supplied
Wage
(Thousands of workers) (Thousands of workers) Shortage or Surplus?
$10.00
Suppose a senator considers introducing a bill to legislate a minimum hourly wage of…
Chapter 6 Solutions
EBK ECONOMICS
Ch. 6.1 - Prob. 1RQCh. 6.1 - Prob. 2RQCh. 6.1 - Prob. 3RQCh. 6.1 - Prob. 4RQCh. 6.2 - Prob. 1RQCh. 6.2 - Prob. 2RQCh. 6.2 - Prob. 3RQCh. 6.2 - Prob. 4RQCh. 6.2 - Prob. 5RQCh. 6.3 - Prob. 1RQ
Ch. 6.3 - Prob. 2RQCh. 6.3 - Prob. 3RQCh. 6.3 - Prob. 4RQCh. 6.3 - Prob. 5RQCh. 6.4 - Prob. 1RQCh. 6.4 - Prob. 2RQCh. 6.4 - Prob. 3RQCh. 6.4 - Prob. 4RQCh. 6.4 - Prob. 5RQCh. 6.5 - Prob. 1RQCh. 6.5 - Prob. 2RQCh. 6.5 - Prob. 3RQCh. 6.5 - Prob. 4RQCh. 6 - Prob. 1SPACh. 6 - Prob. 2SPACh. 6 - Prob. 3SPACh. 6 - Prob. 4SPACh. 6 - Taxes (Study Plan 6.3) 5. The table in the next...Ch. 6 - Prob. 6SPACh. 6 - Prob. 7SPACh. 6 - Prob. 8SPACh. 6 - Prob. 9APACh. 6 - Prob. 10APACh. 6 - Prob. 11APACh. 6 - Prob. 12APACh. 6 - Prob. 13APACh. 6 - Prob. 14APACh. 6 - Prob. 15APACh. 6 - Prob. 16APACh. 6 - Prob. 17APACh. 6 - Prob. 18APACh. 6 - Prob. 19APACh. 6 - Prob. 20APACh. 6 - Prob. 21APACh. 6 - Prob. 22APACh. 6 - Prob. 23APA
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- Use the table below to answer the following questions. Select one: OA. 30 OB. 40 Wage Rate (dollars per hour) 7 6 C. zero D. 70 E. 20 4 3 Table 6.2.2 Quantity Supplied (millions of hours) 88888 50 40 30 20 Refer to Table 6.2.2. What is the level of unemployment in millions of hours if the minimum wage is set at $3 per hour? Quantity Demanded (millions of hours) 30 40 50 60 70arrow_forward5. Discrimination in the labor market The following table lists the name, gender, height, and minimum wage 10 people are willing to accept to work as sales clerks at a high-end clothing store. Name Gender Eileen F Valerie Caroline Shen Antonio Frances Dmitri Nick Jake Latasha F F M M F M M M F Height (Inches) 66 66 68 70 70 66 71 70 63 68 Minimum Wage (Dollars per week) $301 $325 $349 $362 $386 $410 $423 $447 $460 $484 The lowest wage that the clothing store can pay to hire five sales clerks is $ per week. Suppose the head of the clothing store has a preference for tall employees because he thinks it will increase revenue, and thus, he imposes the restriction that all sales clerks hired must be at least 67 inches in height. Under this new regulation, the wage rate the clothing store must pay to attract five sales clerks rises by $ per week.arrow_forwardTable 28-4 The following data is about the labor market in the city of Productionville. Wage (Dollars per hour) Quantity Demanded (Units) Quantity Supplied (Units) 8 6,000 16,000 7 9,000 14,000 6 12,000 12,000 5 15,000 10,000 4 18,000 8,000 Refer to Table 28-4. If the local government imposed a minimum wage of $7 in Productionville, how many people would be unemployed? Group of answer choices 0 2,000 5,000 10,000arrow_forward
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