1. At the given wage and price level, Blewitt’s should hire how many workers? Suppose that the price of blueberries increases to $18 per pound, but the wage rate remains at $80. On the previous graph, use the purple points (diamond symbol) to plot Blewitt's labor demand curve when the outputprice is $18 per pound. 2. Now Blewitt’s should hire how may workers when the output price is $18 per pound? 3. Assuming that all blueberry-producing firms have similar production schedules, an increase in the price of blueberries will cause the (supply of or demand for) blueberry pickers to (increase or decrease)? - Pick one for each blank 4. Suppose that wages increase to $110 due to an increased demand for workers in this market. Assuming that the price of blueberries remains at $18 per pound, Blewitt’s will now hire how many workers? WAGE (Dollars per worker)1501351201059075606045303015150012+3LABOR (Number of workers)OO45Demand P = $15Demand P = $18? Consider Blewitt's Farm, a small blueberry grower relative to the size of the market whose production has no impact on wages and prices. Thefollowing table presents Blewitt's production schedule for blueberries:LaborOutput(Number of workers) (Pounds of blueberries)0123450815212630Suppose that the market wage for blueberry pickers is $80 per worker per day, and the price of blueberries is $15 per pound.On the following graph, use the blue points (circle symbol) to plot Blewitt's labor demand curve when the output price is $15 per pound.Note: Remember to plot each point between the two integers. For example, when the number of workers increases from 0 to 1, the value of themarginal product of for the first worker should be plotted with a horizontal coordinate of 0.5, the value halfway between 0 and 1. Line segments willautomatically connect the points.

To address the questions thoroughly within 900 words, let's delve into each aspect in detail.**1.…

Answered: WAGE (Dollars per worker) 150 135 120…

Principles of Economics, 7th Edition (MindTap Course List)

7th Edition

ISBN:9781285165875

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter18: The Markets For The Factor Of Production

Section: Chapter Questions

Problem 7PA

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Related questions

Question

1. At the given wage and price level, Blewitt’s should hire how many workers?

Suppose that the price of blueberries increases to $18 per pound, but the wage rate remains at $80.

On the previous graph, use the purple points (diamond symbol) to plot Blewitt's labor demand curve when the output

price is $18 per pound.

2. Now Blewitt’s should hire how may workers when the output price is $18 per pound?

3. Assuming that all blueberry-producing firms have similar production schedules, an increase in the price of blueberries will cause the (supply of or demand for) blueberry pickers to (increase or decrease)?

- Pick one for each blank

4. Suppose that wages increase to $110 due to an increased demand for workers in this market. Assuming that the price of blueberries remains at $18 per pound, Blewitt’s will now hire how many workers?