In the labour market, workers would like to receive higher wages and firms would like to pay lower wages a. suppose that workers succeed in having a minimum wage established above the equilibrium wage. what will happen to the number of workers employed compared to the original equilibrium? b. suppose that firms succeed in having a maximum wage established below the equilibrium wage. what will happen to the number of workers employed compared to the original equilibrium?

Exploring Economics
8th Edition
ISBN:9781544336329
Author:Robert L. Sexton
Publisher:Robert L. Sexton
Chapter16: The Markets For Labor, Capital, And Land
Section: Chapter Questions
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In the labour market, workers would like to receive higher wages and firms would like to pay lower wages

a. suppose that workers succeed in having a minimum wage established above the equilibrium wage. what will happen to the number of workers employed compared to the original equilibrium?

b. suppose that firms succeed in having a maximum wage established below the equilibrium wage. what will happen to the number of workers employed compared to the original equilibrium?

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