Q11- Question.No-1: In the labor market, workers would like to receive higher wa

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Q11- Question.No-1: In the labor market, workers would like to receive higher wa

Q11- Question.No-1: In the labor market, workers would like to receive higher wages and
firms would like to pay lower wages. 5 Marks
a. Suppose that workers succeed in having a minimum wage established above the
equilibrium wage. What will happen to the number of workers employed when
compared to the original equilibrium? Explain. 2.5 Marks
b. Suppose that firm 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? Explain. 2.5 Marks

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