FIGURE 14- 2
-Refer to Figure 14- 2. In a perfectly competitive labour market, the equilibrium wage rate and the quantity of labour employed would be

Question

Quizplus · Accepted Answer

In a perfectly competitive labour market, the equilibrium wage rate and quantity of labour employed would be at the intersection of the supply of labour curve (S) and the demand for labour curve (D), which is point E in Figure 14-2. At this point, the equilibrium wage rate is W1 and the quantity of labour employed is Q1. Therefore, the answer is C.

FIGURE 14- 2 -Refer to Figure 14- 2. in a Perfectly Competitive Labour