Refer to Figure 19-5. Given demand for labor, D₁, and supply of labor, S₁, what is the surplus of labor if a minimum wage of $8 per hour is imposed on this market?

A) 250
B) 150
C) 200
D) 100

Question

Refer to Figure 19-5. Given demand for labor, D 1 , and supply of labor, S 1 , what is the surplus of labor if a minimum wage of $8 per hour is imposed on this market?A) 250B) 150C) 200D) 100

Sanita Rekic · Accepted Answer

Final Answer : C, Explanation :  The surplus of labor occurs when the quantity of labor supplied exceeds the quantity of labor demanded at the imposed minimum wage. At a minimum wage of $8 per hour, the quantity of labor supplied is greater than the quantity of labor demanded, resulting in a surplus. The specific numbers for the surplus are not provided in the question, but based on the options given and typical analysis of labor market diagrams, a surplus of 200 is a plausible outcome when comparing the difference between labor supplied and labor demanded at the imposed wage.

Refer to Figure 19-5. Given demand for labor, D₁, and supply of labor, S₁, what is the surplus of labor if a minimum wage of $8 per hour is imposed on this market?

A) 250
B) 150
C) 200
D) 100

Definitions

Learning Objectives

Learning Objectives

Related questions

Refer to Figure 19-5. Given demand for labor, D1, and supply of labor, S1, what is the surplus of labor if a minimum wage of $8 per hour is imposed on this market?A) 250B) 150C) 200D) 100

Definitions

Learning Objectives

Learning Objectives

Related questions

Refer to Figure 19-5. Given demand for labor, D₁, and supply of labor, S₁, what is the surplus of labor if a minimum wage of $8 per hour is imposed on this market?

A) 250
B) 150
C) 200
D) 100